HIGHLIGHTS

  • Pepper Money’s share price has risen 53.38% over the past 12 months.
    • The company declared a fully franked final dividend of 7.8 cents per share, yielding 11.86% annually.
    • Record originations and highest‑ever assets under management were reported for the 2025 financial year.

Pepper Money Ltd (ASX:PPM) recorded a notable advance in its share price over the past year, supported by robust business results and a dividend yield of 11.86%. The company’s latest full‑year results for the period ended 31 December 2025 revealed record originations, increased assets under management, and continued profitability, which have been reflected in investor sentiment and equity performance.

Share Price Momentum and Dividend Yield

Pepper Money’s share price was trading at AUD 2.27, up 0.89% at the last update, marking a cumulative increase of more than 50% year‑on‑year. Investor interest has been supported by the impending dividend event, with the ex‑dividend date set for 12 March 2026 and payment scheduled for 16 April 2026. The declared final dividend of 7.8 cents per share is fully franked, contributing to a notable dividend yield close to 12%, a figure that continues to draw attention from income‑focused shareholders.

Record Business Metrics for FY2025

In its most recent results announcement, Pepper Money reported record originations of AUD 10.3 billion, up 47% on the prior comparative period (PCP). Total assets under management reached AUD 21.8 billion, another milestone for the company, increasing 14% on 31 December 2024. Net interest margin also showed improvement, rising 8 basis points on PCP to 2.05%, reflecting favourable interest dynamics and mix shifts within the business.

Pro‑forma net profit after tax was AUD 104.8 million, up 7% on PCP, supported by disciplined expense management and operating efficiencies, as total expenses declined by 2% and the cost‑to‑income ratio improved to 50.5%. Operating income reached AUD 388.8 million, marginally higher than the previous year, while the company strengthened its funding base with warehouse capacity increasing to AUD 13.3 billion.

Dividend and Capital Position

The fully franked final dividend of 7.8cps declared on 19 February 2026 brings total dividends for CY2025 to 26.7cps, compared to 12.1cps for CY2024, reinforcing the company’s commitment to returning capital to shareholders. Pepper Money also reduced corporate debt to AUD 97.5 million and maintained unrestricted cash of AUD 121.8 million at year‑end, underpinning its capacity to support future growth.

Pepper Money’s annual results deliver a compelling combination of elevated share price performance and high dividend yield, backed by record business metrics. Strong originations, growing assets under management, and disciplined financial management are key contributors to its performance over the past year, making the stock an area of continued focus for investors prioritising yield and total return.

FAQs

  1. What was Pepper Money’s share price performance over the past year?
    Pepper Money shares appreciated approximately 53.38% year‑on‑year, illustrating significant equity performance.
  2. What dividend yield is Pepper Money offering?
    The company declared a final dividend of 7.8 cents per share, resulting in an annual yield of 11.86% based on current share pricing.
  3. When are the important dividend dates?
    The ex‑dividend date is 12 March 2026, with the record date on 13 March 2026 and the pay date on 16 April 2026.