REG - Time Finance PLC - Trading Update and Notice of Final Results

Time FinanceAnnouncement

Thu 07:00

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RNS Number : 4005O  Time Finance PLC  26 June 2025

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as amended by regulation 11 of the Market Abuse (Amendment)
(EU Exit) Regulations 2019/310. Upon the publication of this announcement via
Regulatory Information Service, this inside information is now considered to
be in the public domain.

 

26 June 2025

 

Time Finance plc

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

 

Full-Year Trading Update and Notice of Final Results

 

Record revenues and lending-book

FY 2024/25 revenues and profitability ahead of market expectations

 

Time Finance plc, the AIM listed independent specialist finance provider, is
pleased to issue the following trading update for the full financial year
ended 31 May 2025 ("FY 2024/25"). The results reflect the continued success of
focussing on own-book lending to UK businesses, with demand remaining strong
for the Group's multi-product funding offering. This demand has driven further
growth across all key financial metrics with both revenue and profitability
ahead of market expectations 1  (#_ftn1) and the lending book having now
enjoyed 16 consecutive quarters of growth. This is all while the Group's
continued lending discipline has delivered unchanged levels of arrears and
write-offs.

 

Unaudited FY 2024/25 Financial Highlights

 

·    Revenue up 11% to £37.0m (FY 2023/24: £33.2m)

·    Profit before Tax up 34% to £7.9m (FY 2023/24: £5.9m)

·    PBT margin improved by 300 bps to 21% (FY 2023/24: 18%)

·    Net Tangible Assets up 14% to £44.1m at 31 May 2025 (31 May 2024:
£38.6m)

·    Gross lending-book up 8% to a record £217m at 31 May 2025 (31 May
2024: £201m)

·    Deferred income up 5% to £26.7m at 31 May 2025 (31 May 2024:
£25.4m), providing strong visibility of future earnings

·    Net Arrears unchanged at 5% of the gross lending book at 31 May 2025
(31 May 2024: 5%)

·    Net Bad Debt Write-Offs unchanged at 1% of the average gross lending
book at 31 May 2025 (31 May 2024: 1%)

·   Extended and enhanced funding facilities to fuel future growth arranged
with supportive, long-term partners resulting in facilities with headroom in
excess of £90m at 31 May 2025

 

A key pillar of the Company's four-year strategic plan through to 31 May 2025
was to focus on more secured lending, typically through Invoice Finance and
the 'Hard' element of Asset Finance. These two core areas accounted for over
90% of new lending volume originated in the financial year and now make up
approximately 83% of the total lending book. This compares to 51% of new deal
volume origination and 52% of the total lending book prior to the strategy
launch in June of 2021.

 

Ed Rimmer, Chief Executive Officer commented:

 

"31 May 2025 saw the end of the four-year strategy that we commenced in June
of 2021. We can look back with great satisfaction on a period of strong
delivery. The business ends the year having enjoyed record revenues, improved
margins and with an ever-growing lending book as UK SMEs take advantage of our
multi-product offering. This has been achieved without the lowering of our
credit quality as demonstrated by the consistent and stable nature of both our
arrears and our net write-offs.

 

"As we now enter our new three-year growth plan through to May 2028, the Board
is confident that the Group remains strongly positioned to continue its
success and build long-term value for all our shareholders."

 

Notice of Results and Investor Presentation

 

As previously announced on 6 May 2025, the Group will publish its audited
Annual Report and Financial Statements for the financial year to 31 May 2025
on 24 September 2025. The Company will also provide an update in respect of
trading in Q1 of 2025/26 at that time.

 

Chief Executive Officer, Ed Rimmer, and Chief Financial Officer, James
Roberts, will deliver a live presentation relating to the audited FY 2024/25
results and accompanying Q1 trading update via the Group's investor website at
1.00pm on 24 September 2025. The presentation is open to all existing and
potential shareholders who can sign up and submit questions via:
https://investors.timefinance.com/webinars/oPB5mr-fy-results-2024-2025-webinar
(https://investors.timefinance.com/webinars/oPB5mr-fy-results-2024-2025-webinar)

ENDS

 

For further information, please contact:

 

Engage with the Time Finance management team directly by asking questions,
watching video summaries and seeing what other shareholders have to say on our
Interactive Investor
hub here: https://investors.timefinance.com/s/71ba43
(https://investors.timefinance.com/s/71ba43) .

 

 For further information, please contact:

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

 Cavendish Capital Markets (NOMAD and Broker)   0207 220 0500
 Ben Jeynes / Teddy Whiley (Corporate Finance)

 Michael Johnson / Matt Lewis (Sales and ECM)

 Walbrook PR                                    0207 933 8780
 Nick Rome / Joe Walker                         Timefinance@walbrookpr.com

 

 

About Time Finance:

Time Finance's purpose is to help UK businesses thrive and survive through the
provision of flexible funding facilities. It offers a multi-product range for
SMEs primarily concentrating on Asset Finance and Invoice Finance. While
focussed on being an 'own-book' lender, the Group does retain the ability to
broke-on deals where appropriate, enabling it to optimize business levels
through market and economic cycles.

 

More information is available on the Company website at www.timefinance.com
(http://www.timefinance.com) and you can subscribe to our news alert service
at https://investors.timefinance.com/auth/signup
(https://investors.timefinance.com/auth/signup) .

 1  (#_ftnref1) Current market consensus for the year ended 31 May 2025, as
at the date of this announcement, are revenues of £36.0m and profit before
tax of £7.5m.

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