AIM-listed specialist finance provider Time Finance has unveiled remarkable achievements in its half-year trading update for the six months ending 30 November 2024. With record gains across revenue, profit, and lending book growth, the company continues its streak of 14 consecutive quarters of expansion, signalling an exceptional trajectory of success.
Time Finance demonstrated impressive momentum in the first half of the financial year. Revenue climbed 16% to £18.2 million, up from £15.7 million in the same period last year, while Profit Before Tax (PBT) soared by 44% to £3.9 million, compared to £2.7 million previously. The PBT margin rose to 21%, a significant leap from the prior year’s 17%, underscoring the company’s disciplined approach to enhancing profitability. At the same time, its gross lending book reached an all-time high of £209.4 million, marking an 11% year-on-year increase. Net tangible assets also saw robust growth, rising by 14% to £41.5 million. Throughout this expansion, credit quality has remained resilient, with net arrears and bad debt write-offs held at 5% and 1%, respectively, of the lending book.
The company attributes its sustained growth to its strategic focus on Invoice Finance and the “Hard” subset of Asset Finance, which together now account for 77% of the total lending book—a substantial rise from 52% when Time Finance launched its strategic plan in 2021. These segments have been the driving force behind 85% of new deal volumes in the first half of FY2024/25, reflecting a clear alignment with market demand and strategic priorities.
Chief Executive Officer Ed Rimmer emphasised the importance of maintaining balance and discipline amidst this growth. He highlighted the company’s ability to expand its lending book without compromising credit quality, pointing to the stability of both arrears and write-offs as evidence of this approach. With record-breaking revenues and profitability achieved, Rimmer expressed confidence in the Group’s long-term growth potential and commitment to delivering shareholder value. He also announced plans to unveil the company’s forward strategy through to May 2028 in the first quarter of 2025.
Time Finance has cemented its position as a leader in the specialist finance sector, delivering consistent growth and value creation. By focusing on high-growth segments and maintaining a robust credit profile, the company is well-positioned for continued success.
