Following its recent merger with an aggregator, a Western Australian bank has announced record growth across all of its metrics in October.
Goldfields Money Ltd and mortgage aggregator Finsure Group announced the merger had been approved by shareholders in September.
According to Finsure’s managing director John Kolenda, the aggregator’s loan book reached a record $34billion, up 26% from the previous corresponding period.
The number of loan writers also increased by 21% to 1531, which is also a new record.
Total aggregation settlements reached $1.15 billion for the month, a rise of 9% over the same period last year.
Kolenda said, “We are very pleased to report such strong growth in settlements and brokers.
“What makes this result even more encouraging is that this has been achieved against a backdrop of negative system growth and at a time when many of our competitors are finding market conditions very difficult.
“In spite of this, we are performing well ahead of system growth and our ASX listed peers, which is testament to the success of our recent merger.”
Goldfields Money managing director, Simon Lyons, said the strong growth is a continuation of the positive first quarter FY19 performance.
He said, “Not only is the aggregation business performing well, but our managed loan settlements under the ‘Better Choice’ and ‘Goldfields Money’ brands reached a combined $58 million for the month, representing a 97% increase on the previous corresponding period.
“The combination of Goldfields Money and Finsure is off to a fantastic start with the combined business achieving all-time records across each of its key operating metrics.
“We have also successfully increased our deposit base to $211 million, up from $195 million as at June 30, and continue to successfully diversify our funding sources with our call deposits increasing to 21%, up from 18% at the end of June.
“The merger has created a new force in digital banking that is delivering great products through a largely branchless distribution network. Our focus on broker distribution is bringing more competition to the market, which can only be good for consumers.”
The company’s digital banking platform is built on the recently implemented mobile-first core banking system provided by Temenos, and Finsure’s proprietary mortgage distribution software Loankit.
Lyons added, “We have built a cost effective and scalable platform and the distribution capability we now have elevates us in the market place. These results are proof of that and auger well for further growth in the future.”
Lyons said the integration of Goldfields Money and Finsure was progressing well and had already delivered a number of synergies and competitive advantages.
Since merger, the company has appointed former CBA senior executive, Jussi Nunes, to the position of group CFO.
Lyons said, “Looking ahead, our business targets for the 2019 financial year include full integration of the Better Choice team and a rebrand of the company with the launch of a more consumer-centric brand.”