Secure Trust Bank sees profits rise as millionth customer signs up

Pre-tax profit jumped 31.3% to £15.1m compared to the same period last year, while underlying profit before tax also increased 36.4% to £16.4m during the six month period.

"I am pleased to report very good progress over the last six months including signing up our one millionth customer and improved profitability. This reflects well on the hard work and dedication of all our staff and their commitment to the business. This positive momentum sets us up well for the rest of 2018 and beyond notwithstanding the economic and political uncertainties," said chairman Lord Forsyth.

STB saw its total number of customers increase by 30.7% to just under 1.1m, with customer deposits increasing by 24.1% to £1,645.4m.

STB’s cash and cash equivalents were up 36% from the same point last year at £160.9m and the firm increased its interim dividend from 18p to 19p per share.

STB said the ongoing repositioning of its business model has placed more focus on lower risk lending in attractive market segments and continued growth in both business finance and consumer finance, leading to operating income growth of 18.7% to £72.5m.

The AIM traded firm also attributed a slight 1% reduction in impairment losses to £16.3m.

Secure Trust Bank’s shares were down 1.52% at 1,615.00p at 0830 BST.