Why the Plenti (ASX:PLT) share price is soaring 7% today

co-workers wearing headphone and microphones high five in celebration of good news in an office setting.

The Plenti Group Ltd (ASX: PLT) share price is off to the races today, up 7% at time of writing after earlier posting gains of more than 8%.

Below we take a look at the ASX fintech lender’s trading update for the quarter ended 30 September 2021 (Q2 FY22).

(Note that different companies abide by different financial year calendars.)

What were the growth figures for Q2 FY22?

The Plenti share price is soaring today after the company reported a 140% increase in quarterly loan originations compared to Q2 FY21.

The record high $256.4 million of loan originations also represented an 18% boost from the previous quarter (Q1 FY21).

September, with $95.5 million, proved to be another record month for Plenti’s loan originations. That figure was up 159% from September 2020 which the company said was a record month for loan originations at that time.

With another strong quarter behind it, Plenti reported its first half of the 2022 financial year (H1 FY22) loan originations leapt to $473 million. That’s up 183% from the previous corresponding period and up 56% from the previous half year.

The Plenti share price may also be getting a lift from the 110% year-on-year increase in the company’s loan portfolio which stood at $915 million as at 30 September.

Commenting on the results, Plenti’s CEO Daniel Foggo said:

I am delighted to report yet another outstanding quarter for Plenti, with record quarterly loan originations across each lending vertical. By continuing to take market share, Plenti has achieved strong growth despite COVID-induced lockdowns.

This strong growth along with the high level of operational leverage from our technology-led business model has accelerated our targeted timeframes for achieving a one-billion-dollar loan book and reaching Cash NPAT profitability, now targeted by end December 2021.

Plenti share price snap shot

The Plenti share price is up 23% in 2021, well outpacing the 9% gains posted by the All Ordinaries Index (ASX: XAO) over that same time.

Over the past month, Plenti’s shares are trading flat.

The post Why the Plenti (ASX:PLT) share price is soaring 7% today appeared first on The Motley Fool Australia.

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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 Bruce Jackson.

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