Press releases
Liberty Financial Reports Results for the Financial Year ending 30 June 2009
Liberty Financial today announced a consolidated net profit after-tax of $35m for the year ended 30 June 2009. This after-tax result decreased by 4% compared to 2008. As with previous years, no dividend was declared increasing the net capital position of the company to $193m.
Managing Director Sherman Ma said that “Despite the economic recession, Liberty has produced a steady result that underscores the durability of its differentiated business model. It is a notable performance achieved in an unprecedented environment. Our operational discipline combined with continued reinvestment of profits leaves us well capitalised to keep serving our clients into the future.”
During the year, the company boosted its provisions by more than 200% to $60m. In addition to lifting provisions for the future, Liberty was still able to maintain profitability while increasing capital strength.
Total assets during the financial year decreased by 22% from $3.6b to $2.8b reflecting the defensive approach adopted by the company in light of the strained capital markets and economy. Even so, Liberty was able to grow its invoice finance receivables and launch its auto dealer floorplan finance business.
Over $700m was also raised in the past year reflecting the continued support of the capital markets for Liberty’s business. Ma said “Liberty has been a fortunate recipient of the Government’s initiatives to rebuild market competition. We look forward to further engagement with the Government to extend its vital support to small businesses, the capital markets, and other essential sectors of our economy.”
While maintaining cautious optimism in the short-term, Ma noted, “Having endured the GFC, Liberty has launched growth initiatives and is positioned to accelerate business activity as conditions improve.”
Result Highlights
- Before-tax profit of $47.5m compared to $48.1m in 2008 (-1%)
- After-tax profit of $35.0m compared to $36.3m in 2008 (-4%)
- Shareholders’ equity of $193m compared to $174m in 2008 (+11%)
- Total assets of $2,774m compared to $3,574m in 2008 (-22%)
- Total company provisions of $60.1m compared to $19.4m in 2008 (+210%)
Liberty Financial is one of Australasia's leading specialty finance groups. Its businesses include residential and commercial mortgages, motor vehicle, dealer floorplan, debtor and equipment finance in Australia and New Zealand. It employs approximately 200 professionals and has issued more than $10 billion in domestic and international capital markets. Since 1997, Liberty has helped more than 120,000 customers achieve their financial goals.
To organise an interview or for more information, please contact:
Rebecca Sims, Communications Advisor, Liberty Financial
Email rsims@liberty.com.au
