Company Interview / Credit Corp optimistic amid market concerns

Thomas Beregi of Credit Corp (ASX:CCP) highlights a 32% increase in underlying profit, reaching $44 million for the first half of the financial year, with U.S. collections up by 12%. He expects full-year earnings to continue growing within the $90 to $100 million range, despite mixed market reactions.

Thomas notes some market disappointment over U.S. debt purchasing activity, but remains optimistic about future opportunities. He points out that lending volumes have normalised post-COVID, with the loan book returning to pre-pandemic levels. Wallet Wizard is a key driver of earnings growth, though further growth will be challenging.

In Australia, Thomas observes that consumers are less inclined to take on additional debt. He comments on the recent interim dividend of $0.32, emphasising reinvestment as critical for ongoing growth in both U.S. and Australian markets. Overall, Thomas sees potential for sustained growth as used car prices fall and lending conditions improve.