27 June 2024
Time
Finance plc
("Time
Finance", the "Group" or the "Company")
Trading
Update and Notice of Final Results
Strong trading momentum continues
Lending
Book increased to c£200m - a twelfth consecutive quarter of
growth
Time Finance plc, the AIM listed
independent specialist finance provider, is pleased to issue the
following trading update for the financial year ended 31 May 2024
("FY 2023/24"). In FY 2023/24, the Company
delivered significant increases across its
key performance indicators, with revenue and profitability ahead of
market expectations.
The results reflect the continued
success of the Company's strategic focus on own-book lending to UK
businesses. This approach has seen the Lending Book reach an all-time high of c£200m.
Unaudited financial
highlights:
· 20% increase in Revenue to £33.0m (FY 2022/23:
£27.6m)
· 38% increase in Profit Before Tax to £5.8m (FY 2022/23:
£4.2m)
· Own-Book deal origination up 25% to £91.5m (FY 2022/23:
£73.4m)
· Gross lending-book up 18% to £200m at 31 May 2024 (31 May
2023: £170m)
· Strong future visibility of earnings with Unearned Income up
19% to £25.2m at 31 May 2024 (31 May 2023: £21.2m)
· Net deals in Arrears reduced to 5% of the gross lending
book (31 May 2023: 6%)
· Net Bad Debt Write-Offs reduced to 1% of the average lending
book (FY 2022/23: 2%)
· Net Tangible Assets up 13% to £38.5m at 31 May 2024 (31 May 2023: £34.2m)
· Extended and enhanced funding facilities agreed with
supportive, long-term partners resulting in facilities with
headroom in excess of £60m at 31 May 2024
The increase in revenue has been
primarily driven by the growth in both the Invoice Finance division
and the 'Hard Asset' subset of the wider Asset division. They are
both areas which operate in the larger-ticket, more secured lending
space, and they now comprise over 75% of the Group's entire lending
book.
Notice of Results
The Group will publish its audited
final results and its Annual Report and Financial Statements for
the financial year to 31 May 2024 on 25 September 2024.
Ed Rimmer, Chief Executive Officer
commented:
"I am delighted to provide this
trading update in respect of Time's full-year results which clearly
demonstrate the ongoing success of the Group's strategy.
To have
delivered such growth, despite wider macroeconomic headwinds, is
testament to the hard work of our team, to the clear focus on our
strategy and the strong demand for
finance from UK businesses which continue to prove remarkably
robust. What is especially pleasing is that the performance is
based on maintaining appropriate margins, underwriting robustly and in
keeping a wide spread of risk. As a
result, I am confident the Group is well positioned for future
growth and in delivering further increased shareholder
value."
For further information, please
contact:
Time
Finance
plc 01225
474230
Ed Rimmer, Chief Executive
Officer
James Roberts, Chief Financial
Officer
Cavendish Capital Markets (Nominated
Adviser and
Broker)
0207 220
0500
Ben Jeynes / Dan Hodkinson
(Corporate Finance)
Michael Johnson / George Budd /
Charlie Combe (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
concentrating on Asset, Loan 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 www.timefinance.com.
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.