Geneva’s profit up 66%
The Geneva Group has posted an unaudited pre-tax profit of $6 million in its quarterly trading update – an increase of $2.4m and by 66 per cent compared to the previous year.
It has attributed the improved result to enhanced performance from its insurance and Tonga operations.
The company’s New Zealand lending operations were impacted by high loan delinquencies, which saw an increased impairment charge for the year matching the 2024 charge.
The March 2025 result is similar to the December 2024 USX-announced result, principally due to late year-end adjustments in loan-loss provisioning of $1.8m in Kiwi lending operations and late adjustments to Quest for accruals not previously recognised.
Quest Insurance has continued to perform well with NPBT of $7.3m. Although this is $1.2m down on 2023/24, this includes an overheads recharge of $2.2m of operating costs paid at group level on behalf of Quest.
The 2025 financial year saw Quest continuing its year-on-year trend of double-digit growth. Gross written premiums grew by 20.4 per cent to $55.8m, driven by robust market demand and expanding distribution channels. Claims costs remained stable compared to the prior year, reflecting continued underwriting discipline.
Investment income rose by 13.7 per cent to $2.1m, supported by strong cash flows and positive term deposit rates.
Quest also maintained a solid liquidity position, with cash on hand increasing by 7.1 per cent to $42.1m. Quest’s solvency ratios remain strong, underscoring the company’s sound financial position and commitment to long-term stability.
“This year’s result demonstrates Quest’s continued momentum in the market, underpinned by prudent financial management and a deliberate focus on strengthening operational foundations to support future growth,” the company says.
In 2025, the positions of financial controller, and manager of risk and compliance, were created to ensure a specific focus on these areas was enhanced. Both position report directly to Quest Insurance’s chief executive officer.
The New Zealand lending operations reported a $3.4m loss for the fiscal year ending March 2025, which is an improvement of $3.2m from the $6.6m loss recorded in 2023/24.
This improvement reflects the recharge of insurance-related costs now being passed on to the insurance operations from the start of the current year.
Loan loss provisioning hit $4.9m in 2025, similar to the 2024 year. Lending for the full year increased by 4.6 per cent, totalling $55.6m. Additionally, dealer floorplan funding grew by 4.5 per cent to reach $15.1m for 2024/25. Net group receivables increased from $110m to $117.3m for 6.4 per cent growth over the year.
“The key focus for lending is now improving the quality of loans approved and at the same time growing the loan book,” says the company. “Recent changes to lending processes, including the appointment of a new credit manager in January 2025, will support this objective.
“Furthermore, the launch of a new lending onboarding platform is under way and is expected to be completed within the next quarter.”
The Tonga lending operation reported a $2.1m pre-tax profit, up by $300,000 and 18.9 per cent on the previous financial year.
The group’s Westpac funding facility increased to $87.3m, up $5.8m. Its Kiwibank facility is being repaid and has $600,000 remaining at year-end. Over the past year, $1.7m was repaid to Kiwibank. Funding from wholesale investors at year-end was $16.3m with $700,000 repaid during the period.
Other highlights of 2024/25 included Geneva delisting and listing on the USX last July, the insurance business exceeded $50m gross written premiums and new insurance software was launched on April 1.
