Business
Q3 Trading Update: Pre-Tax Profits up 172%
Q3 Trading Update: Pre-Tax Profits up 172%.
About this update from Time Finance Plc
[{"type":"text","content":"\n \n \n 8 March 2023\n \n \n \n \n \n \n \n \n \n \n Time Finance plc\n \n \n (\"Time Finance\", the \"Group\" or the \"Company\")\n \n \n \n \n \n Q3 Trading Update\n \n \n \n \n \n Positive trading momentum gathering pace\n \n \n Profit Before Tax up 172% over corresponding period\n \n \n Full-year results now expected to be ahead of recently increased market expectations\n \n \n \n \n \n Time Finance plc, the AIM listed independent specialist finance provider is pleased to provide a trading update for the nine-months ended 28 February 2023. These results reflect the continued success of streamlining the Group to focus on core, own-book lending to UK businesses; with significant increases now being seen in the lending book, revenues and profits and across other key performance indicators.\n \n \n \n \n \n Unaudited financial highlights:\n \n \n \n \n \n ·\n Own-Book lending origination up 34% to £52.9m (As at Q3 2021/22: £39.5m)\n \n \n ·\n Revenue up 28% to £20.0m (As at Q3 2021/22: £15.6m)\n \n \n ·\n Profit Before Tax (\"PBT\") up 172% to £3.0m (As at Q3 2021/22: £1.1m)\n \n \n · \n Strong visibility of future earnings with unearned income up 30% to £19.4m as at 28 February 2023 (28 February 2022: £14.9m)\n \n \n ·\n Gross lending-book up 26% to £157.2m as at 28 February 2023 (28 February 2022: £124.6m)\n \n \n ·\n Net Arrears reduced to 6% of the gross lending book as at 28 February 2023 (28 February 2022: 8%)\n \n \n ·\n Net Tangible Assets up 12% to £33.0m (28 February 2022: £29.5m)\n \n \n ·\n Continued positive trading momentum throughout Q3 of 2022/23 has given the Board further confidence that full-year trading will now be further ahead of the latest market expectations1, with PBT for the full year now expected to be not less than £3.6m\n \n \n \n \n \n The increase in revenue continues to be driven primarily by growth in both the Invoice Finance division and the 'Hard Asset' subset of the Asset division. Both growth areas operate in the larger-ticket, more secured lending arena. This is reflective of the previously stated strategic focus on increasing the Group's average deal size and, where appropriate, taking greater security on lending.\n \n \n \n \n \n The Group will provide an update on trading for the full year to 31 May 2023 in late June 2023.\n \n \n &nb...