UK's Distribution Finance Capital 2025 revenue rises, helped by market share gains

Distribution Finance Capital Holdings

23/03/2026 07:13

Overview

UK specialist lending bank's full-year 2025 gross revenue grew 19% year-on-year

Adjusted profit before tax for 2025 rose 26% year-on-year

Company executed share buyback, repurchasing 12.97 mln shares

Outlook

Company targets loan book in excess of £1.5bln by 2030

Company aims for cost to income ratio of 45-48% and return on required equity of c.20% by 2030

Board expects to initiate first dividend after year ending 31 Dec 2028, subject to regulatory approval

Result Drivers

LOAN BOOK GROWTH - Co said record new loan origination and expansion of its loan book, including the first contribution from its new DFRNT asset finance product, drove income growth

PRICING DISCIPLINE & COST CONTROL - Co attributed improved profit to strong pricing discipline, resilient net interest margin, and lower cost to income ratio

MARKET SHARE GAINS - Co said it grew market share in most sectors, offsetting softer conditions in some areas, due to specialist underwriting and service quality

Company press release: ID:nRSW5734Xa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
FY Gross Revenue
GBP 90.90 mln
FY CET1 Capital Ratio
18.00%
FY Net Interest Margin
8.00%
FY Pretax Profit
GBP 19.60 mln


Analyst Coverage

The one available analyst rating on the shares is "strong buy"

The average consensus recommendation for the consumer lending peer group is "buy."

Wall Street's median 12-month price target for Distribution Finance Capital Holdings PLC is GBp90.00, about 57.9% above its March 20 closing price of GBp57.00

The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 6 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)