From NSC report todayCOG announced that their 1H FY21 Net Profit...

From NSC report today

COG announced that their 1H FY21 Net Profit After Tax and Amortisation (NPATA) would be $10.1 million, an increase of +140% on the PCP. This profit growth has pleasingly translated into strong free cash flow with unrestricted cash and term deposits of $53 million (not including their ~$17 million listed investment in Earlypay Ltd (ASX: EPY), against a market capitalisation of $149 million with minimal gross debt. This profit growth was driven by two main factors, the first of these being the Finance, Broking & Aggregation division, where margins have increased as the business continues to improve efficiencies through automation, as well as offering complementary services to their clients such as insurance broking. The other key driver of the result was the increased ownership in debenture issuer Westlawn Finance. We believe Westlawn has continued to a be a beneficiary in the growth of its debenture book as well as the growth in its insurance broking arm. Finally, COG stated that they will be rolling out a “hub & spoke” insurance broking model to all of their owned and aggregated broker members in the coming months.