Business
Final Results for the year ended 31 December 2023
Final Results for the year ended 31 December 2023.
About this update from Sancus Lending Group Limited
[{"type":"text","content":"\n\nThe information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as amended by The Market Abuse (Amendment) (EU Exit) Regulations 2019. The person responsible for making this announcement on behalf of the Company is Rory Mepham.\n \nSancus Lending Group Limited\n \n(\"Sancus\", the \"Company\" or \"Group\")\n \nFinal Results for the year ended 31 December 2023\n \n28 June 2024\n \n \nHIGHLIGHTS\n \nRory Mepham, Chief Executive Officer of Sancus Lending Group Limited, commented:\n \n\"We remain committed to returning Sancus to profitable growth. During the year we have continued to focus on getting our operating platform functioning efficiently in our three core markets, the UK, Ireland and Channel Islands. Our strategic focus is clear - to become a private credit and property focussed asset and wealth manager - in which management, our shareholders and funders have specific sectorial expertise and deal flow.\n \nWhile we focus on credit quality and are on track to deliver our renewed strategies our reported operating loss of £9.9m, includes an Expected Credit Loss (\"ECL\") charge of £4.8 million predominantly against legacy loans written in 2019 or before. The carrying cost of these historic loans and an increased group borrowing cost accounted for the majority of the remainder of the loss.\n \nDuring the year our residential property credit business achieved a 23% increase in pro-forma loans under management to £208m, including the impact of a joint venture we announced with Hawk Lending Limited in December 2023. This joint venture, in addition to strengthening our Channel Islands lending position will also improve our access to family office wealth. We also saw good growth in the Irish business.\n \nThe Sancus team remain committed to achieving the highest possible proceeds from the \"workout\" of legacy loans and we anticipate completing the majority of these workouts in 2024. We have had an encouraging start to the year. In the 5 months to May 2024 we generated revenues of £6.3m (including our share of the joint venture announced with Hawk Lending Limited). This compares to £4.6m for the 5 months to 31 May 2023. Our pro-forma Assets Under...