Geneva to expand reach

Geneva Finance is entering the 2027 financial year with “strong momentum, underpinned by solid performance across all its core business units and a clear strategic focus”. 

Robin King, chairman, and managing director Malcolm Johnston, say Quest Insurance continues to perform strongly and is benefiting from stable demand and effective distribution through its dealer network. 

“The business remains focused on deepening relationships with existing partners while expanding its reach through direct channels, supported by agile product development and responsive service delivery,” they add in their annual report.

As for the company’s New Zealand lending operations, the priority remains on growing a high-quality loan book that delivers sustainable returns. This includes refining credit assessment practices and enhancing customer engagement with a focus on retention and lifecycle management. 

King and Johnston say: “A key strategic initiative is the implementation and automation of core processes through the application of technology. 

“This investment in digital capability is expected to improve operational efficiency, reduce turnaround times and enhance the overall customer experience. 

“Geneva remains focused on strengthening its core finance and insurance operations, while positioning for sustainable long-term growth through innovation, operational excellence and a strong customer approach.”

The board declared an interim dividend of 1.5 cents per share, which was paid in December. Following the completion of the financial year, a final dividend of two cents per share was declared for the year ending March 31 and was paid on July 31. 

“These dividend payments reflect the continued commitment to delivering value to shareholders while maintaining a balanced approach to capital management and reinvestment in core business growth.”

As at March 31, $72.8 million was drawn on the company’s $100m Westpac securitisation warehouse facility. Other borrowings of $16.4m comprised wholesale investor debt, including $11.6m of subordinated director shareholder loans.

Credit-rating agency AM Best has reaffirmed Quest’s financial strength rating of B (fair) and issuer credit rating of bb+ (fair), both with a stable outlook.

Trading performance 

Geneva reported an audited pre-tax profit of $12m in 2025/26 for an increase of $6m and 100.5 per cent compared to the previous year. 

The company says the improved result is attributable to enhanced performance from all business areas – insurance, and its New Zealand and Tonga lending operations. 

Quest continued to perform well with NPBT of $10.2m. The 2026 financial year saw it continuing its “strong growth trajectory”. Gross written premiums grew by 26.5 per cent to $70.6m driven by robust market demand and expanding distribution channels. 

Claims and insurance service expenses grew broadly in line with the increased volume of business, up by 23.7 per cent to $53.4m, while the insurance service result improved to $8.7m from $5.2m to reflect continued underwriting discipline. 

Quest maintained a solid liquidity position with cash on hand increasing by 11.8 per cent to $47.1m. Net profit after tax rose by 40.2 per cent to $7.4m. 

Its solvency ratios remain strong, with a combined solvency-cover ratio of 144 per cent underscoring this division’s “sound financial position and commitment to long-term stability”. 

King and Johnston say: “This result demonstrates Quest’s continued momentum in the market, underpinned by prudent financial management and a deliberate focus on strengthening our operational foundation to support future growth.”

The New Zealand lending operations reported a $0.8m loss for the year ending March 2026 for an improvement of $2.6m from the $3.4m loss posted in the prior year. This was mainly driven by lower impairment charges of $1.6m, which reduced by $2.8m from 2024/25. 

Lending in this country for the full year decreased by 33.5 per cent, totalling $37.6m with a focus on improved credit quality over volume. Net receivables after provision decreased from $108.7m to $92m for an annual drop of 15.4 per cent.

“The key focus for lending is growing the loan book sustainably while maintaining good credit quality,” say Johnston and King. “This is being driven through an enhanced relationship management approach, revised lending policy and improved product offering to introducers.”

The Tonga operation, meanwhile, reported a $2.6m pre-tax profit, up $0.5m and 24.1 per cent on last year.

The company’s annual general meeting will be held at MUFG’s pension and market services office in the PwC Tower, Customs Street West, Auckland, on September 24 at 2pm.