Secure Trust Bank Plc · LSE:STB
Secure Trust Bank — H1 2025 Earnings Presentation
38 slides from Secure Trust Bank's earnings presentation, Aug 14, 2025
Slide 1: 2025 Interim Results
2025 Interim Results 14 August 2025 Helping more consumers and businesses fulfil their ambitions
Slide 2: Reporting basis
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 2 Reporting basis Throughout this document reference is made to total Core operations include Retail Finance, Real Estate Finance, adjusted results which excludes exceptional items as reporte
Slide 3: Contents
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 3 Contents Interim 2025 Overview Financial Review Strategic Review and Outlook Appendices
Slide 4: Overview
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 4 Overview Further progress towards higher returns David McCreadie Chief Executive Officer
Slide 5: On track to achieve an attractive return on capital in the near term
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 5 On track to achieve an attractive return on capital in the near term Group ROAE improved to 9.6% in HY 2025, Core ROAE 13.7% Excellent growth Operational Strategic refresh potential in effi
Slide 6: Group overview
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 6 Group overview Consumer Finance Business Finance Savings Business units and brands Balances HY 2025 £1,436m £557m £1,448m £388m £3,510m 3-year growth +57% +67% +27% +8% +53% Addressable mar
Slide 7: HY 2025 performance highlights
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 7 HY 2025 performance highlights Customer lending Retail deposits Net interest margin (NIM) Risk adjusted margin (RAM) £3.8bn + 6.1% on FY 2024 £3.5bn + 8.2% on FY 2024 5.4% + 0.1pp on HY 202
Slide 8: Progress towards achieving current medium-term targets
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 8 Progress towards achieving current medium-term targets £4bn net lending ambition achievable in near-term Lending balances Net interest margin Cost income ratio* Return on average equity* CE
Slide 9: Financial Review
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 9 Financial Review Rachel Lawrence Chief Financial Officer
Slide 10: Income statement
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 10 Income statement 36.3% growth in adjusted profit before tax Adjusted income statement* Adjusted profit before tax at £23.3m, up 36.3% on HY 2024 £m HY 2025 HY 2024 Change % • Strong operat
Slide 11: Net interest margin
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 11 Net interest margin Progress towards higher NIM NIM trend % H1 NIM increased to 5.4% (HY 2024: 5.3%) 12.0% 9.8% 10.7% 10.7% 10.2% 10.0% • Active management of yields as cost of funds fell
Slide 12: Operating expenses
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 12 Operating expenses Cost income ratio (CiR) improvement to 49.1% Cost income ratio • Lending growth drives increased revenue growth by 2.7pp and cost growth £51.6m + 1.2% £52.2m declined by
Slide 13: Impairment charges and provisions
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 13 Impairment charges and provisions Stable cost of risk at 1.7% Cost of risk and coverage ratio CoR bridge IFRS9 provision movement £m 3.5% 2.2% 140.0 2.6 0.9 3.0% 2.9% 0.3% 120.0 2.7% 2.0%
Slide 14: Provisioning for Vehicle Finance commissions
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 14 Provisioning for Vehicle Finance commissions Event timeline 1 Aug 2025 Nov/Dec 2025 Supreme Court judgment on lender appeals FCA expects to confirm approach regarding potential motor finan
Slide 15: Summary balance sheet
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 15 Summary balance sheet Increase to tangible book value per share of 3.9% to £19.37 £m HY 2025 FY 2024 % Change Cash and BoE reserve account 385.9 445.0 (13.3) • Loans and advances to custom
Slide 16: Loans and advances to customers
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 16 Loans and advances to customers Increased by 6.1% to £3.8bn Loans and advances to customers £bn Loans and advances to customers mix 3.9 5.8% 6.1% 0.0 3.8 10.7% 7.9% 0.1 (0.3%) 0.0 £3.8bn 3
Slide 17: Capital
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 17 Capital Capital accretive in HY 2025 CET1 ratio movement CET1 ratio increased to 12.6% 13.0% 12.8% (0.1%) • Capital required to support lending growth funded by underlying 12.6% 0.6% (0.2%
Slide 18: Funding and liquidity
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 18 Funding and liquidity Full repayment of TFSME HY 2025 FY 2024 Funding • Full repayment of TFSME in HY 2025 following accelerated payments Term deposits ISA Term Term deposits ISA Term 44%
Slide 19: Segmental information
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 19 Segmental information Operating leverage remains key to driving increased profitability £m Retail Finance Vehicle Finance Real Estate Finance Commercial Finance Central Adjusted Total HY25
Slide 20: Strategic decision on Vehicle Finance
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 20 Strategic decision on Vehicle Finance Focus on profitable, higher returning Core business Adjusted* income statement • The Group has stopped new lending within the Vehicle Finance Core Veh
Slide 21: Strategic review and outlook
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 21 Strategic review and outlook David McCreadie Chief Executive Officer
Slide 22: Clear strategic focus
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 22 Clear strategic focus Vision To be the most trusted specialist lender in the UK Purpose To help more consumers and businesses fulfil their ambitions Our Strategic Priorities Simplify Enhan
Slide 23: Significant strategic progress
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 23 Significant strategic progress Simplify Enhance customer experience Leverage networks • Strategy refresh and pivot from Vehicle Finance • Digital-first approach • Further new business mark
Slide 24: Continued progress towards achieving our medium-term targets
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 24 Continued progress towards achieving our medium-term targets • Group has been transformed in recent years to create a more focused, specialist lender • Significant operating model changes
Slide 25: Outlook
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 25 Outlook Excellent growth Operational Strategy refresh to potential in efficiencies enhance return on large addressable continue to capital beyond current markets be delivered target range
Slide 26: Secure Trust Bank PLC 2025 Interim Results
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 26
Slide 27: Appendices
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 27 Appendices
Slide 28: Retail Finance
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 28 Retail Finance Helping consumers purchase lifestyle goods and services Income statement Highlights £m HY 2025 HY 2024 % Change • Record new lending, up 9.8% compared to HY 2024, driving in
Slide 29: Vehicle Finance
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 29 Vehicle Finance Helping customers buy used vehicles and dealers buy vehicles for their forecourts Income statement Highlights £m HY 2025 HY 2024 % Change • New business lending increased b
Slide 30: Real Estate Finance
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 30 Real Estate Finance Secured borrowing to landlords and facilities to property developers and SMEs Income statement Highlights £m HY 2025 HY 2024 % Change • Net lending growth of 7.9% in HY
Slide 31: Commercial Finance
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 31 Commercial Finance Providing working capital finance to UK SMEs and funding for strategic events Income statement Highlights £m HY 2025 HY 2024 % Change • Lower average balances impacts ne
Slide 32: Savings
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 32 Savings Helping our customers save for special events Highlights • 8.2% increase in deposit balances to £3.5bn • Raised £1.1 billion of new funds and retained 76% of maturing fixed term de
Slide 33: Reconciliation of adjusted results
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 33 Reconciliation of adjusted results to the Interim Report and Accounts for the year ended 30 June 2025 £m Core Non-Core Adjusted Total Exceptionals Statutory Total HY25 HY25 HY25 HY25 HY25
Slide 34: Reconciliation of adjusted results
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 34 Reconciliation of adjusted results to the Interim Report and Accounts for the year ended 30 June 2024 £m Core Non-Core Adjusted Total Exceptionals Statutory Total HY24 HY24 HY24 HY24 HY24
Slide 35: IFRS9
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 35 IFRS9 Economic Scenarios and Weightings • A reduction in Base and Severe peak unemployment rates, combined with an increase in Downside has been applied, resulting 30 Jun 2025 30 Jun 2025
Slide 36: Important notice
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 36 Important notice This presentation and the information, statements and opinions in it do not constitute, This document contains forward looking statements about the business, strategy and
Slide 37: Glossary
Overview Financial Review Strategic Review and Outlook Appendices Secure Trust Bank PLC 2025 Interim Results 37 Glossary NIM Net interest margin COF Cost of funds NRM Net revenue margin RAM Risk adjusted margin CiR Cost to income ratio CoR Cost of risk ROAE Return on average equity CET1 Common Equit
Slide 38: Helping more consumers and businesses fulfil their ambitions
Helping more consumers and businesses fulfil their ambitions securetrustbank.com/investor-relations