Non-bank lender Firstfolio failed to improve profit margins over last year, according to the group’s annual report.
The company’s net profit for the year to June came in at $1.3m, unchanged from the previous year. Revenue increased 2.2%, to $82.2m. Its loan book fell by $1b, down to $18.9b.
Following a year during which it lost two CEOs and went through a capital reconstruction, the results are perhaps unsurprising, if disappointing.
The past few years have seen Firstfolio struggle to integrate a number of acquisitions. In the year to June, the group focused on reducing expenses, which fell 13% to $19.6m.
Next month, shareholders will be asked to vote on a re-capitalisation plan. Australian Capital Enterprise has committed up to $50m and, if the plan unfolds, will take up to 75% of the equity in Firstfolio.