Time Finance, a specialist finance provider, has reported a 20% increase in revenue alongside considerable operational growth for the financial year ending on 31 May 2024. Revenue for the company surged to £33.2 million, compared to £27.6 million from the previous year, reflecting a strong year of performance. This upward trend was accompanied by a 41% rise in profits before tax, reaching £5.9 million. Earnings per share also showed a 30% increase, now standing at 4.8p on a fully diluted basis.
The company experienced significant growth in its own-book deal origination, which saw a 25% rise to £91.6 million. The lending book similarly expanded by 18%, closing the year at £201.2 million. Time Finance’s net assets grew by 7%, totalling £66.1 million, while net tangible assets increased by 13%, amounting to £38.6 million. These figures reflect the company’s strengthening financial position, underscored by unearned income, which climbed 20% year-on-year to £25.4 million.
The firm’s overall portfolio showed improvements, with a reduction in net deals in arrears, which fell to 5%, while net bad debt write-offs dropped to just 1% of the average lending book, down from the previous year’s 2%. These results were supported by operational efficiencies, as the proportion of own-book lending increased slightly to 97%. Specific segments also saw notable growth, with the invoice finance division’s lending rising 16% to £65 million, and the asset finance division’s hard asset segment growing by 37%, reaching £85 million.
The company’s ability to secure new funding partnerships was highlighted, with lending headroom surpassing £65 million by the year’s end. Additionally, Time Finance achieved accreditation as a lending partner under the UK Government’s Growth Guarantee Scheme, further solidifying its market position.
Looking forward, the Board of Time Finance expects trading in the coming financial year, ending 31 May 2025, to either meet or exceed market forecasts, driven by ongoing growth and effective management of its portfolio. The CEO, Ed Rimmer, expressed satisfaction with the group’s performance, noting progress in key divisions and strong control over portfolio management. He also emphasised the company’s focus on attracting top-tier talent and strengthening its brand within the introducer network as a foundation for future growth.
Non-executive chair Tanya Raynes highlighted the company’s resilience in the face of challenging macro-economic conditions, pointing out that revenue, profits, and earnings per share all recorded double-digit growth, outperforming market expectations. She added that the balance sheet continues to grow stronger, reinforcing confidence in achieving the targets set out in the strategic plan formulated in 2021.
Time Finance’s achievements in both financial growth and operational efficiency appear to position the company well for future success, with a robust outlook for the coming year.
Time Finance plc (LON:TIME) is an AIM-listed business specialising in the provision or arrangement of funding solutions to UK businesses seeking to access the finance they need to realise their growth plans. Time Finance can fund businesses or arrange funding with their trusted partners through Asset Finance, Invoice Finance, Business Loans, Vehicle Finance or Asset Based Lending.
