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Market Release 26 February 2021 AFG 4/100 Havelock Street West Perth WA 6005 PO Box 710 West Perth WA 6872 AFG delivers record first half profit Australian Finance Group ( ASX : AFG ) has today announced a net profit after tax increase of 36 % to $ 24.97 million for the six - month period to 31 December 2020 . In response to an extraordinarily strong appetite for Australian housing buoyed by government incentives to support the economy , the sector has shown its resilience and AFG has demonstrated growth across the country . AFG CEO David Bailey said he was delighted to report the company's strong growth in its core residential business has been the cornerstone of the company's overall performance . " I am very pleased to be in the position to report an outstanding first half result for the company . We have recorded year on year growth in residential settlements in every month of the first half of FY21 . AFG's residential trail book has increased 5 % to $ 160 billion . " The resilience displayed by the company's staff and our brokers in their unwavering support of their customers through what has been one of the most challenging periods our community has ever faced , has been remarkable . The first half performance demonstrates the company is delivering strong returns through a commitment to a shared value business model , diversified income streams and a resilient core that delivers choice , competition , and value to Australian borrowers . Highlights Underlying ( cash ) profit increased 41 % to $ 24.88 million . Statutory NPAT increased 36 % to $ 24.97 million • • Return on equity of 27 % • Earnings per share increase of 9 % to 9.2 cents Interim dividend of 5.9 cents per share representing a dividend yield of 4.5 % based on the AFG share price at 31 December 2020 • HY21 Residential settlements up 24 % to $ 20.92 billion • Year on year growth in residential settlements in each month of H1 FY21 , with strong growth in each state . Residential trail book increased 5 % to $ 160 billion • AFG Securities loan book up 18 % to $ 2.96 billion and approximately 8,000 customers . NIM of 179bps ( 2019 : 151bps ) • AFG Home Loans trail book up 9 % to $ 10.68 billion • Profit contribution from AFG's 33 % equity investment in Thinktank increased 102 % to $ 2.31 million in H1 FY21 • Strong balance sheet with unrestricted cash , trail book assets , financial assets and sub - ordinated capital totaling $ 267 million AFG Home Loans Overall settlement volumes for AFG Home Loans were $ 1.47 billion and the AFG Home Loans trail book is now at $ 10.7 billion , an increase of 9 % . AFG Home Loans now has over 27,000 retail customers . " As mentioned in our FY 2020 results , as the pandemic hit we adopted a cautious approach to lending within AFG Securities which drove a greater focus onto white label arrangements . This ultimately impacted the AFG securities lodgement pipeline as we entered the new financial year . As a result , AFG Securities settlements decreased by 35 % to $ 446 million for the half . For media enquiries , please contact Alison Clarke Head of Corporate Communications P ( 08 ) 9420 7014 | P 0402 781 367 afgonline.com.au ABN 11 066 385 822