Harmony Gold Mining Co. Ltd.

For the half year ended 31 December 2025, Harmoney reported revenue of $71.9 million, up 12%, statutory NPAT of $6.1 million, up 202%, and cash NPAT of $6.1 million, up 166%; noncash adjustments netted to 0. Loan book was $857 million, up 9%, with NIM at 10.3% (up 130 bps), risk-adjusted income at 6.4% (up 110 bps), credit losses at 3.9%, and 90-plus day arrears at 0.58% (58 bps). Cost-to-income ratio was 18.5% versus 18.9% last year, and ROE was 31% versus 13% in the prior comparable half. Management upgraded FY26 cash NPAT guidance by $1 million, or 8%, to $13 million, and said it expects a year-end loan book above $900 million, NIM around 10%, and risk-adjusted income around 6%.

David Stevens framed the half as proof that Stellare 2.0 is now driving a scalable profit engine, saying the company has surpassed last year’s full-year profit in six months. He emphasized the customer flywheel, near-zero repeat acquisition costs, and the ability to add products and channels without materially increasing operating costs. His tone was confident and upbeat, but he repeatedly stressed that current performance is being built on the core business, not on M&A or financial engineering.

Simon Ward highlighted the main drivers as a 9% loan book increase to $857 million, a 12% revenue lift to $71.9 million, and better economics from a 17.2% average portfolio rate and 7% funding rate. He pointed to 3.9% credit losses, 0.58% 90-plus day arrears, and an 18.5% cost-to-income ratio as evidence of stable credit and strong operating leverage. On capital, he said borrowings fund 96% of the loan book, Harmoney’s required cash contribution is $34 million, and the business had $24 million of unrestricted cash plus $5 million it can draw from funders, supporting growth toward a $1.5 billion loan book without equity.

Analysts asked about geographic expansion, new partnerships, the mobile app, funding costs, ECL provisioning, capital allocation, and the sustainability of margins as the business scales. Management said there are no short- to medium-term plans to move beyond Australia and New Zealand, though it is pursuing product adjacencies, embedded-finance partnerships, auto lending, and revolving credit. Stevens said the mobile app pilot exists and is scheduled for the App Store in Q4, and that funding-cost changes are not material to the business because pricing can be adjusted quickly. On provisioning, Ward said the lower ECL rate was driven by better underlying loan performance and forward-looking indicators; on buybacks, Stevens said the company has already used surplus cash to repurchase shares and repay $7.5 million of corporate debt, and may not repurchase more.