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Heartland Group Holdings Limited (ASX:HGH)

ALERT: Price-sensitive ASX Announcement for HGH
Current share price for HGH : $1.030 0.205 (24.85%)+
Announcement
Release
27 Feb 2025 7:32AM
Price at Release
$0.825
Full Release
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Summary
Heartland Group Holdings Limited reported its financial results for the first half of FY2025, reflecting a significant decline in net profit after tax (NPAT) to $3.6 million, down 90.4% compared to the previous year, primarily due to increased impairment expenses and operational costs associated with its Australian bank acquisition. Despite a stable net interest margin (NIM) of 3.41% and an interim dividend of 2.0 cents per share, the outlook remains cautious as underlying NPAT expectations for the full year are set at a minimum of $45 million, amidst challenging economic conditions in New Zealand and anticipated growth in reverse mortgages in both New Zealand and Australia.
Key Points
  • Heartland Bank Australia’s funding now primarily consists of deposits at 60%.
  • NIM expected to expand in 2H2025 with FY2025 exit NIM above 4.00%.
  • Interim dividend of 2.0 cps declared.
  • Underlying NPAT for FY2025 expected to be at least $45 million.
  • Strong growth in reverse mortgages with receivables up 15.3% in NZ and 15.0% in AU.
  • Challenging economic conditions projected for NZ in 2H2025.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.