FleetPartners Group Limited (ASX:FPR) Reports 1H25 Results
Business Transformation
FleetPartners Group successfully completed its Accelerate transformation program in February 2025, integrating the Group onto a single operating system. The program aims to strengthen the competitive position, enhance returns from new and existing business, and improve customer experience. It is expected to deliver $6 million in annualised cost savings.
Financial Performance
The Group reported assets under management or financed (AUMOF) of $2.3 billion, a 6% increase compared to the prior comparative period (pcp). Balance sheet funded AUMOF rose by 14%, aligning with the Group’s strategy to focus on higher-return leases. New Business Writings (NBW) were $370 million, down 17% from pcp, partly due to order pipeline unwind and the Accelerate system cutover. Adjusted NBW excluding these factors decreased by 11%. Net operating income (NOI) before EOL and provisions was $82.1 million, up 8%. End of lease income (EOL) was $29.5 million, down 18%. Net Profit After Tax excluding Amortisation (NPATA) was $38.9 million, a 7% decrease from pcp, while adjusted NPATA excluding EOL grew by 10%. Cash EPS was 17 cents, aligning with pcp.
Capital Management
FleetPartners announced a 2H25 share buy-back of up to $25.3 million, reflecting 65% of 1H25 NPATA. Since FY21, the Group has returned $255 million to shareholders and cancelled 100 million shares. The balance sheet maintains a net debt position of $17.1 million as of 31 March 2025.
Outlook and Management Appointments
The Group remains confident in its growth prospects, with customer demand and tender activity robust. FleetPartners appointed James Allaway as Chief Strategy Officer to lead the Group’s growth agenda.
Executive Comments
Group CEO and Managing Director Damien Berrell stated, “The completion of Accelerate marks the beginning of the next chapter for FleetPartners. Operationally we are better placed than we have ever been to execute our strategic agenda and pursue growth.”
Motley Fool contributor Aaron Shaw has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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