Humm Group Ltd

ASX:HUM

Profit: Hummgroup reported statutory profit after tax of $13.9 million for the first half of 2026, up 13% over last half but down 49% on the prior corresponding period due to one-off items last year.

Dividend Increase: The Board approved a fully franked interim dividend of $0.015 per share after repaying perpetual notes, increasing the payout compared to previous years.

Net Interest Margin: Net interest income rose to $134.4 million with portfolio NIM stable at 5.5%, reflecting disciplined pricing and lower funding costs.

Credit Performance: Credit losses remained low at 1.95% of average net receivables, with commercial credit losses peaking and expected to trend lower next half.

International Growth: Humm Ireland delivered strong results (profit up 103% on PCP), while UK volumes grew 56% and interest income doubled, showing early momentum in expansion markets.

Cost Efficiency: The cost-to-income ratio was 57.4%, but would have been in the 52% range excluding irregular items, reflecting continued efficiency improvements.

Technology Investment: Major IT and product platform upgrades are progressing, with cloud migration nearly complete and expected to reduce costs and improve resilience.

Guidance & Outlook: Management expects commercial credit losses to normalize, continued technology investments, and sees positive momentum in volumes and profitability for the second half.