Highlights

  • Beforepay Group Limited (ASX:B4P) recorded 1QFY27 Revenue of AUD 16.5mn, up 45% YoY.
  • Cash NPAT increased 58% YoY to AUD 5.7mn while statutory NPAT reached AUD 4.7mn.
  • Total quarterly advances rose to AUD 264.7mn, although net Bad Debts also increased.

Beforepay Group Limited (ASX:B4P) operates small-value pay advances, personal loans and an enterprise credit-risk analytics business. In its unaudited quarterly activities report released 26 October 2026, the group described higher advances and Earnings for 1QFY27, the three months to 30 September.

Record Revenue and Quarterly Profit

Revenue increased to AUD 16.5mn in 1QFY27 from AUD 11.3mn a year earlier, a 45% YoY increase. Statutory NPAT was AUD 4.7mn, compared with AUD 3.4mn in 1QFY26. Cash NPAT, the company’s adjusted measure, was AUD 5.7mn, up 58% from AUD 3.6mn a year earlier, but below AUD 6.7mn in 4QFY26. Cash NPAT adjusts statutory earnings for depreciation, amortisation, expected-credit-loss movements, share-based payments and loan-establishment fee expense.

Pay Advances and Personal Lending

Total advances were AUD 264.7mn, up 17% YoY from AUD 226.4mn and 4% QoQ from AUD 255.4mn. Pay Advance advances accounted for AUD 257.7mn, while Personal Loans contributed AUD 7.0mn. The average advance size increased from AUD 446 to AUD 524 YoY. Management identified higher average advances and the inclusion of interest on Pay Advance as contributors to revenue growth.

Credit Measures Move Differently

Overall net bad debts rose to 1.41% from 0.87% in 1QFY26 and 0.90% in 4QFY26 under the revised methodology. The Personal Loans ratio was 1.59% versus 6.10% in the preceding quarter; the company cautioned that recoveries and provision writebacks contributed to the unusually low figure. These data points should not be interpreted as a uniform improvement across the entire portfolio. The disclosure explains that the bad-debt methodology was revised and comparative figures were recalculated.

Liquidity and Funding Changes

The group reported an Equity position of AUD 54.1mn and total cash of AUD 13.6mn at quarter-end. Total cash comprised approximately AUD 6.4mn at bank and AUD 7.2mn held in funding and settlement accounts. A new debt Facility executed in July 2026 was beginning to reduce funding costs and provide capacity for the Personal Loans portfolio. Quarter-end equity was higher than AUD 48.9mn at the preceding quarter-end.

Business Activities and Forward Factors

Beforepay Group Limited (ASX:B4P) uses its consumer-facing Beforepay Business to provide cash-flow lending products. Its Carrington Labs operation supplies credit-risk insights to financial institutions. Operating factors to monitor include the effects of larger average advance sizes, credit-loss trends after provision reversals, loan-book funding costs and the revenue contribution of the two business activities.

Key Takeaways

The release documents meaningful YoY growth in revenue, advances and cash profit, but also an increase in group net bad debts. The difference between Cash NPAT and statutory NPAT remains relevant when comparing quarterly results.