Business
Half Year Trading Update
Half Year Trading Update.
About this update from Distribution Finance Capital Holdings Plc
[{"type":"text","content":"\n\n8 July 2025\n \nDistribution Finance Capital Holdings plc\n(\"DF Capital\" or the \"Company\" together with its subsidiaries the \"Group\")\n \n \nHalf Year Trading Update\nStrong H1 performance and launch of new strategic lending offering supports multi-product ambition.\n \nDistribution Finance Capital Holdings plc, a specialist bank providing financial solutions that support dealers and manufacturers across the UK, is pleased to provide a trading update for the six months ended 30 June 2025 (the \"period\").\nPerformance\n· The Group is pleased to report strong trading through the period. New loan origination reached a record high, exceeding £828m, up 16.8% on the prior year (H1 2024: £709m) through market share growth in core inventory finance sectors as well as the benefit of new lending product adjacencies.\n· The Group's loan book has continued to grow throughout the second quarter, marginally ahead of expectations, reaching £728m at the period end, up 20.7% on the prior year (H1 2024: £603m). \n· Stock days, being the average age of loans outstanding, has remained well within sector tolerances at 128 days (31 December 2024: 140 days) at the period end.\n· The Group now supports 97 manufacturer partners and its dealer customers total 1,491 (H1 2024: 1,250). Credit lines reached a record £1.4 bn, up 27.3% on prior year (H1 2024: £1.1bn). This provides a valuable base to support the Group's multi-product strategy.\n· Overdue accounts have continued to perform in line with expectations through the period, reflecting a continued disciplined approach to scaling lending and a robust focus on credit control. Despite growing customer numbers, in aggregate, 38 dealers had arrears one day past due (H1 2024: 20), representing 2.5% of total dealers, this includes 30 cases in legal recovery where appropriate credit loss provisions have been made in line with the anticipated level of financial recovery. The Group's total arrears balance represented 0.9% (H1 2024: 0.5%) of its entire loan book.\n· The Group has continued to benefit from a very strong net interest margin performance throughout the period and operating expenses have been well managed despite investment into building new products an...