Time Finance Profit Before Tax up 172%

Time Finance plc (LON:TIME), the AIM listed independent specialist finance provider, has provided 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.

Unaudited financial highlights:

·    Own-Book lending origination up 34% to £52.9m (As at Q3 2021/22: £39.5m)

·    Revenue up 28% to £20.0m (As at Q3 2021/22: £15.6m)

·    Profit Before Tax (“PBT”) up 172% to £3.0m (As at Q3 2021/22: £1.1m)

·   Strong visibility of future earnings with unearned income up 30% to £19.4m as at 28 February 2023 (28 February 2022: £14.9m)

·    Gross lending-book up 26% to £157.2m as at 28 February 2023 (28 February 2022: £124.6m)

·    Net Arrears reduced to 6% of the gross lending book as at 28 February 2023 (28 February 2022: 8%)

·    Net Tangible Assets up 12% to £33.0m (28 February 2022: £29.5m)

·    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

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.

The Group will provide an update on trading for the full year to 31 May 2023 in late June 2023.

Ed Rimmer, Chief Executive Officer commented:

“I am delighted to report that the Group’s ongoing trading performance during Q3 has enabled the Board to confirm that the expected results for the full-year to 31 May 2023 are being further uplifted. This is the second time since the start of the calendar year that these have been raised, bearing testament to the successful implementation of our Medium-Term Strategy.

“Despite the well-publicised wider macro-economic ‘headwinds’, the Group has continued to grow at a faster rate than expected, demonstrating that demand for finance from UK businesses is robust. The Group’s multi-product tailored offering to UK SMEs, its own-book lending strategy and its quality of service have become ever more appreciated by our introducers and I am confident that we can deliver increasing value for our shareholders”.

1.     FY23 market expectations at time of announcement of £25.7m of revenue and £3.2m of PBT.

Click to view all articles for the EPIC:
Or click to view the full company profile:
Share on facebook
Share on twitter
Share on linkedin

More articles like this

The Spring Statement: Everything you need to know

There were a lot of headline grabbers in this year’s Spring Statement, but one of the biggest was the Office for Budget Responsibility’s (OBR) predictions that the UK will not enter a technical recession in 2023 – very

Business optimism must remain the Chancellor’s priority

As the Chancellor prepares to deliver the 2023 Spring Statement, Ed Rimmer, Chief Executive Officer at Time Finance, shares his predictions for this year’s ‘mini budget’ and what businesses need to see from the Government to boost growth and

Aim-listed Time Finance raises profit forecast

Bosses at alternative finance provider Time Finance have raised profit expectations for a second time this year, after reporting “significant increases” in its lending book and revenues. In a set of results for the nine months to the

Cash flow issues in business

Businesses need to keep capital moving throughout their operations in order to fulfil their orders, provide services, manage suppliers, and pay staff.  So what happens when a cash flow problem gets in the way?  Although it seems that

Late Invoice Payments: What To Do?

When it comes to late invoice payments, we know that business owners often feel like they are stepping on eggshells. Trying to balance the books with optimal cash flow situation while maintaining relationships with customers is a tricky

The ultimate guide to Cashflow Financing

Everyone knows that cash flow is one of the most important things to consider when running a business – but what about cash flow financing and funding? In this guide, our team of experts will give you the ins

Time Finance lending book reaches all-time high of over £150m

Time Finance plc (LON:TIME), the AIM listed independent specialist finance provider, has announced its unaudited interim results for the six-months ended 30 November 2022. The Interims reflect the success of the Group’s own-book lending strategy and its focus

Alternative lender announces record lending book

Time Finance, an alternative lender based in Reading, UK, has reported a record lending book of £152.7 million as it continues to grow its revenue and profits. During the first half of its financial year, which ended in

Time Finance reports record high lending book

Time Finance has reported a 12% increase in revenue to £13.2m and a 67% increase in pre-tax profits to £2m in the six months to November 2022. Additionally, the company’s lending book has reached a record high of

2023: A close eye on cashflow and a renewed focus

Ed Rimmer, Chief Executive Officer at Time Finance, shares his predictions on what 2023 will bring for businesses and the key trends to expect this year.  As businesses close the door on a year that brought them challenge after

No more posts to show