Business
Half-year Results
Half-year Results.
About this update from Paragon Banking Group Plc
[{"type":"text","content":"\n \n \n \n Paragon Banking Group PLC\n \n \n \n \n Under Stock Exchange embargo until 7.00 a.m. Tuesday 14 June 2022\n \n \n \n \n Volume and margin growth deliver record profits\n \n \n \n \n Paragon Banking Group PLC ('Paragon' or 'the Group'), the specialist banking group, today announces its half-year results for the six months ended 31 March 2022.\n \n \n \n Nigel Terrington, Chief Executive of Paragon said:\n \n \n \n \"These excellent results demonstrate the considerable progress we have made in fulfilling our strategic ambitions. Strong growth in new lending at attractive margins has supported the Group's earnings and return on tangible equity progression while capital levels remain comfortably in excess of our regulatory requirements, providing the foundation for further growth and additional capital returns in the future. Whilst the UK economy faces headwinds, we have a high quality loan book and we are confident in our momentum, and have upgraded our guidance for the full year.\n \n \n \n \n Good progress has been made in delivering our multi-year digitalisation plans, which will enhance customer experience and drive greater operational efficiency over time.\n \n \n \n \n Given the Group's strong profit performance and capital position we have extended this year's share buy-back by an additional £25 million.\"\n \n \n \n \n \n \n \n \n \n Financial highlights:\n \n \n \n ·\n Underlying profits increased 27.3% to £105.5 million (2021 H1: £82.9 million)*\n \n \n ·\n Statutory profit before tax up 49.0% at £143.6 million (2021 H1: £96.4 million)\n \n \n ·\n Structural NIM enhancement to 2.57% accelerated by rate environment (2021 H1: 2.32%)\n \n \n ·\n Cost:income ratio reduced to 41.2% (2021 H1: 42.5%)\n \n \n ·\n Underlying EPS increased 29.4% to 32.6 pence (2021 H1: 25.2 pence)*, while statutory EPS increased 51.5% to 44.4 pence (2021 H1: 29.3 pence)\n \n \n ·\n Capital base remains strong - CET1 15.4% (31 March 2021: 16.0%)\n \n \n ·\n Underlying RoTE 14.9% (2021 H1: 12.8%)*\n \n \n ·\n Interim dividend up 30.6% at 9.4p (2021 H1: 7.2p), in line with policy\n \n \n \n \n \n \n \n \n Operational highlights:\n \n \n \n ·\n New lending levels up 32.2% from 2021 H1 to £1.49 billion (2021 H1: £1.13 billion)\n \n \n ·\n Strong new business pipelines support momentum into the second half:\n \n \n o \n Buy-t...