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ASA International Group PLC (GB:ASAI)
LSE:ASAI
UK Market
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ASA International Group PLC (ASAI) AI Stock Analysis

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GB:ASAI

ASA International Group PLC

(LSE:ASAI)

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Neutral 67 (OpenAI - Gpt-5.6Sol)
Rating:67Neutral
Price Target:
277.00 p
▲(13.52% Upside)
Action:Reiterated
Date:09/12/26
The score is driven by attractive valuation (low P/E and solid dividend yield) and a constructive technical trend with neutral-to-positive momentum. Offsetting these positives, the financial profile is tempered by sustained negative operating/free cash flow since 2023 and elevated leverage, while the latest earnings call was supportive but acknowledged rising credit provisions and modest margin/asset-quality pressures.
Positive Factors
Loan and client growth
Rapid expansion in both clients and outstanding loans indicates sustained demand for ASA International’s core microfinance offering. A growing customer base and portfolio can support recurring interest income, deepen local market penetration, and provide operating scale over the coming quarters.
Negative Factors
High leverage
Elevated leverage increases the company’s sensitivity to credit losses, funding conditions, and earnings volatility. Because ASA International relies on borrowed funds to expand its loan book, weaker portfolio performance or tighter financing could constrain growth and pressure financial resilience.
Read all positive and negative factors
Positive Factors
Negative Factors
Loan and client growth
Rapid expansion in both clients and outstanding loans indicates sustained demand for ASA International’s core microfinance offering. A growing customer base and portfolio can support recurring interest income, deepen local market penetration, and provide operating scale over the coming quarters.
Read all positive factors

ASA International Group PLC (ASAI) vs. iShares MSCI United Kingdom ETF (EWC)

ASA International Group PLC Business Overview & Revenue Model

Company Description
ASA International Group PLC delivers microfinance solutions across Africa and Asia. The company primarily focuses on assisting low-income female micro-entrepreneurs by offering them various unsecured loans, including small business loans, to facil...
How the Company Makes Money
ASA International makes money primarily by earning interest income and fees on microloans issued to customers through its operating subsidiaries. The core revenue model is lending-based: the company raises or allocates funding to its local entitie...

ASA International Group PLC Earnings Call Summary

Earnings Call Date:Sep 09, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Apr 27, 2027
Earnings Call Sentiment Positive
The call was strongly positive. Management reported robust underlying growth, a 42% increase in underlying net profit, improved operating efficiency, stronger equity and funding positions, continued strategic execution, and a full-year outlook at or slightly above $70.2 million consensus. The main challenges were modest portfolio-quality deterioration, margin pressure, adverse foreign-exchange translation, expected higher credit provisions and taxes, and disruption from Uganda's trade regulations, but these did not outweigh the positive operating and financial trends.
Positive Updates
Strong Client and Loan Portfolio Growth
The client base grew 11% year-on-year in the first half of 2026 to over 2.7 million. Outstanding loan portfolio increased to $600 million, up 18% year-on-year on a reported basis and 24% on a constant-currency basis.
Negative Updates
Uganda Trade Regulations Disrupted Client Businesses
New trade regulations led to shops being bulldozed and traders being evicted from Kampala and greater Kampala. Management said some clients lost their shops and inventory and had to rebuild their businesses, which had a significant effect on portfolio quality and would remain significant.
Read all updates
Q2-2026 Updates
Negative
Strong Client and Loan Portfolio Growth
The client base grew 11% year-on-year in the first half of 2026 to over 2.7 million. Outstanding loan portfolio increased to $600 million, up 18% year-on-year on a reported basis and 24% on a constant-currency basis.
Read all positive updates
Company Guidance
For the remainder of 2026, ASA International expects demand for loans by clients to also be resilient and full year 2026 underlying net profit to be in line or slightly ahead of the current company compiled consensus of $70.2 million; for the second half, margins are expected to remain in that bracket, which we are very comfortable with, between 35% and 40%, costs are expected to be well under control, but we will see a bit of a further rise, ECL charges are likely to rise slightly, and the effective tax rate is expected to go up basically from the underlying 38% to in the range around 40%-42%; the goal is still to pay out 25% over the full year of 2026, with a maximum payout of 30%, and the funding pipeline is robust, standing at more than $300 million for the remainder of 2026.

ASA International Group PLC Financial Statement Overview

Summary
Reported profitability has improved (net income rising from 29.2M in 2024 to 57.1M in 2025) and gross profitability is strong (~79–81% in 2021–2024). However, financial risk is elevated due to high leverage (debt-to-equity ~2.9–3.6x in 2022–2024) and a material deterioration in cash generation, with negative operating and free cash flow persisting in 2023–2025 (e.g., -53.4M operating cash flow and -60.6M free cash flow in 2025).
Income Statement
62
Positive
Balance Sheet
48
Neutral
Cash Flow
25
Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue295.63M312.41M230.29M183.99M186.77M197.01M
Gross Profit283.30M257.00M186.84M146.24M146.45M154.57M
EBITDA151.80M112.23M70.02M37.66M52.05M32.09M
Net Income74.56M57.09M29.25M9.21M17.89M8.79M
Balance Sheet
Total Assets848.68M797.11M568.50M490.03M489.75M562.55M
Cash, Cash Equivalents and Short-Term Investments175.81M107.46M79.82M2.15B68.97M111.48M
Total Debt440.17M428.55M324.77M276.68M264.39M322.13M
Total Liabilities655.08M635.26M472.01M413.42M400.09M459.11M
Stockholders Equity194.71M164.26M98.47M77.93M89.81M103.58M
Cash Flow
Free Cash Flow90.17M-60.63M-29.68M-24.17M36.95M10.35M
Operating Cash Flow88.32M-53.44M-23.54M-16.67M43.12M12.52M
Investing Cash Flow-171.66M-7.17M-6.07M-7.50M-5.83M-2.19M
Financing Cash Flow119.96M88.47M34.91M27.56M-29.72M-12.41M

ASA International Group PLC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price244.00
Price Trends
50DMA
252.08
Negative
100DMA
231.89
Positive
200DMA
214.59
Positive
Market Momentum
MACD
2.19
Negative
RSI
52.06
Neutral
STOCH
56.82
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ASAI, the sentiment is Positive. The current price of 244 is below the 20-day moving average (MA) of 245.85, below the 50-day MA of 252.08, and above the 200-day MA of 214.59, indicating a neutral trend. The MACD of 2.19 indicates Negative momentum. The RSI at 52.06 is Neutral, neither overbought nor oversold. The STOCH value of 56.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:ASAI.

ASA International Group PLC Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
£123.37M6.7113.97%22.63%33.09%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
67
Neutral
£250.00M4.5141.54%4.23%25.27%69.00%
64
Neutral
£243.02M10.269.68%5.75%-7.08%32.38%
57
Neutral
£200.12M18.392.20%12.35%6.21%
55
Neutral
£536.14M9.1026.71%52.96%242.50%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:ASAI
ASA International Group PLC
250.00
119.86
92.10%
GB:VANQ
Vanquis Banking Group
78.90
-28.10
-26.26%
GB:SUS
S&U plc
2,000.00
291.61
17.07%
GB:FCH
Funding Circle Holdings
189.40
69.80
58.36%
GB:DFCH
Distribution Finance Capital Holdings Plc
75.00
23.00
44.23%

ASA International Group PLC Corporate Events

Business Operations and StrategyExecutive/Board Changes
ASA International appoints CFO Geert Embrechts to Board
Positive
Sep 9, 2026
ASA International Group PLC has appointed Chief Financial Officer Geert Embrechts to its Board as an Executive Director, effective 9 September 2026. The move formalises his transition, previously announced in November 2025, and underscores the com...
Business Operations and StrategyDividendsFinancial Disclosures
ASA International boosts profits and loan book as capital strength grows
Positive
Sep 9, 2026
ASA International reported a 70% rise in H1 2026 net profit to USD 45.6 million, with underlying profit up 42% and gross outstanding loans growing 12% year-on-year to USD 603.9 million. The group’s portfolio quality remained strong, with PAR...
Business Operations and StrategyExecutive/Board Changes
ASA International GC Exercises Share Options Under LTIP
Neutral
Aug 17, 2026
ASA International Group plc, a major microfinance provider listed in London, focuses on advancing financial inclusion by offering small loans to low-income entrepreneurs, mainly women, across multiple markets in Asia and Africa. Its model targets ...
Other
ASA International CEO Exercises Share Options, Bolstering Stake in Microfinance Group
Positive
Aug 7, 2026
ASA International Group plc disclosed that Chief Executive Officer Rob Keijsers has exercised options under the company’s long-term incentive plan, acquiring 30,000 ordinary shares at a price of GBP 0.82 per share. The transaction, completed...
Business Operations and StrategyFinancial Disclosures
ASA International posts Q2 growth as digital push and India exit reshape portfolio
Positive
Jul 30, 2026
ASA International reported continued portfolio and client growth in the second quarter of 2026, underscoring resilience in its microfinance operations despite challenging conditions in several markets. Gross outstanding loans rose 4% during the qu...
Business Operations and StrategyRegulatory Filings and Compliance
ASA International corrects terms of 2026 nil-cost option grants
Neutral
Jun 19, 2026
ASA International Group plc has corrected details of a recent grant of options under its Long-Term Incentive Plan, clarifying that the 2026 awards were issued as nil-cost options with an initial award price of £1.93 per share, not with a &#16...
Business Operations and StrategyExecutive/Board Changes
ASA International grants 380,666 share options to senior leadership
Positive
Jun 18, 2026
ASA International Group plc has granted options over 380,666 ordinary shares under its Long-Term Incentive Plan to executive directors and senior managers, including the CEO, CFO and other key officers. The awards, exercisable at £1.93 per sh...
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and Compliance
ASA International grants long-term share options to senior executives
Positive
Jun 18, 2026
ASA International Group plc has granted options over 380,666 ordinary shares under its Long-Term Incentive Plan to executive directors and other senior managers, with an exercise price of £1.93 per share. The awards, which vest in tranches ov...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 12, 2026