AIM-listed specialist finance provider Time Finance has reported a record gross lending book of £217m for the financial year ended 31 May 2025 (FY24/25), marking its 16th consecutive quarter of growth.
The company said its continued focus on secured, own-book lending to UK businesses helped it register an 8% increase in lending volumes, underlining the success of its shift towards invoice finance and the hard element of asset finance.
These areas accounted for more than 90% of the new lending volume originated in the financial year and now constitute 83% of the total lending book.
Revenue for the FY24/25 increased by 11% to £37m while profit before tax saw a substantial rise of 34% to £7.9m.
The profit before tax (PBT) margin also improved by 300 basis points to 21%. The company’s net tangible assets grew by 14% to £44.1m.
Deferred income, which provides visibility of future earnings, rose by 5% to £26.7m. Importantly, the company maintained its lending discipline, with net arrears and bad debt write-offs remaining unchanged at 5% and 1% of the gross lending book, respectively.
Time Finance also secured extended and enhanced funding facilities, providing headroom in excess of £90m to fuel future growth.
Time Finance CEO Ed Rimmer expressed satisfaction with the company’s performance, stating: “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.
Looking forward, Rimmer expressed confidence in the company’s new three-year growth plan through to May 2028 and its potential to continue building long-term value for shareholders.
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