Business
Secure Trust Bank Annual Results to End of 2022
Secure Trust Bank Annual Results to End of 2022.
About this update from Secure Trust Bank Plc
[{"type":"text","content":"\n \n \n \n \n \n PRESS RELEASE\n \n \n \n \n \n Thursday 30 March 2023\n \n \n Embargoed release at 07:00 am\n \n \n LEI: 213800CXIBLC2TMIGI76\n \n \n SECURE TRUST BANK PLC\n \n \n Preliminary Results for the 12 months to 31 December 2022\n \n \n Significant Strategic Progress and Growth Momentum\n \n \n Highlights1\n \n \n ·\n 28.1% growth in profit before tax pre impairments to £76.1 million\n \n \n ·\n Total profit before tax of £44.0 million (2021: £56.0 million)\n \n \n ·\n 19.1% growth in lending balances to £2.9 billion\n \n \n ·\n 500 basis point improvement in cost income ratio to 55.0%, with further progress expected in FY23\n \n \n ·\n Arrears remain stable at low levels in consumer divisions\n \n \n ·\n Healthy regulatory capital base strengthened further following £90 million Tier 2 bond issuance\n \n \n Secure Trust Bank PLC (\"STB\" or the \"Group\"), a leading specialist lender, is pleased to announce its financial results for the year ended 31 December 2022, delivering 28.1% growth in continuing1 profit before tax pre impairments of £76.1 million (2021: £59.4 million). This significant increase has been delivered through a combination of strong loan book growth, careful management of net interest margin and effective cost management.\n \n \n A strong set of results demonstrating the potential of the Group's business model. The Group has been agile and responsive to changing market conditions, achieving a 19.1% increase in lending balances1 while restricting total operating cost growth to 4.3%. New business lending of £2.1 billion (2021: £1.4 billion) was at record levels, with the Group proactively tightening lending criteria through the year. This robust performance and our continued focus on managing risk exposures appropriately gives the Group confidence in delivery of our medium-term targets.\n \n \n The Group has continued to execute on its strategic priorities, including the simplification of the business and focus on its existing attractive market segments. These twin areas of focus have delivered improved operational efficiency and strong growth in operating income. The Group delivered annualised operational cost improvements of £2.0 million in 2022 with further initiatives anticipated in the year ahead. The combination of growth and tight cost control resulted in a 500 basis points im...