REG - Time Finance PLC - Q1 Trading Update

Time FinanceAnnouncement

22/09/2022 07:00

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RNS Number : 2158A  Time Finance PLC  22 September 2022

22 September 2022

 

Time Finance plc

("Time Finance", the "Group" or the "Company")

 

Q1 Trading Statement

Positive trading momentum continues;

lending book grows; arrears continue to fall

 

Time Finance plc, the AIM listed independent specialist finance provider is
pleased to announce the Group's trading performance for the first quarter of
the current financial year which ended on 30 August 2022.

 

Unaudited financial highlights:

 

·    Own-Book lending origination up 26% to £15.7m (Q1 2021/22: £12.5m)

·    Revenue up 12% to £6.3m (Q1 2021/22: £5.6m)

·    Profit before Tax up 125% to £0.9m (Q1 2021/22: £0.4m)

·    The lending-book continued to grow; increasing 4% to £142.8m since
year-end (31 May 2022: £136.8m) and 24% from 12 months prior (30 August 2021:
£115.0m)

·    Net Arrears continued to fall; reducing 1% since year-end to £9.2m
(31 May 2022: £9.3m) and 36% from 12 months prior (30 August 2021: £14.3m)

·    Net Tangible Assets continued to increase; up 3% since year-end to
£31.3m (31 May 2022: £30.5m) and 9% from 12 months prior (30 August 2021:
£28.8m)

 

The increase in revenue is driven by solid growth in the lending book,
particularly within the Invoice Finance division and the 'Hard' part of the
Asset division. Both areas operate very much in the secured lending arena,
reflecting the strategic desire for the Group to increase its average deal
size and, where appropriate, take additional security on its lending.

 

Ed Rimmer, Chief Executive Officer commented:

 

"The first three months of the new financial year have seen the Group continue
to experience growing levels of demand for finance from across the UK SME
sector. This continued the momentum seen in the final quarter of the last
financial year to 31 May 2022. The trend shows that the own-book lending
strategy is becoming embedded within the Group, understood by our introducers
and valued by UK businesses. The first quarter's unaudited results give the
Board confidence that the Group is well positioned to build value for its
shareholders".

 

The Board continues to expect the Group's trading for the full year to be in
line with market expectations.

 

The Company will deliver a live presentation relating to this trading update
and the simultaneously released 2022 Results announcement via the Investor
Meet Company platform at 12.00pm BST today. Existing and potential
shareholders can sign up to Investor Meet Company for free and add to meet
Time Finance plc via:
https://www.investormeetcompany.com/time-finance-plc/registerinvestor

 

 For further information, please contact:

 Time Finance plc
 Ed Rimmer, Chief Executive Officer          01225 474230
 James Roberts, Chief Financial Officer      01225 474230

 Cenkos Securities plc (NOMAD and Broker)
 Ben Jeynes / Max Gould (Corporate Finance)  0207 397 8900

 Julian Morse (Sales)

 Walbrook PR                                 0207 933 8780
 Paul Vann / Joe Walker                      07768 807631
                                             timefinance@walbrookpr.com

 

About Time Finance:

Time Finance's core strategy is to focus on providing the finance UK SMEs
require to fund their businesses. It offers a multi-product range for SMEs
including asset, loan, invoice and vehicle finance. While primarily an
'own-book' lender the Group does operates a 'hybrid' lending and broking model
enabling it to optimize business levels through market and economic cycles.

 

More information is available on the Company website www.timefinance.com
(http://www.timefinance.com) .

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