Annual pre-tax profits at Bath-based specialist lender 1pm have shot up by 93% on the back of a move to widen its markets.
The £7.9m profit was achieved on a 78% increase in sales to £30m for the year to May 31, some 31% of which was organic growth.
The group’s combined gross lending portfolio was £142.1m on May 31, an increase of 59% on the previous year’s.
1pm attributed this to a new commercial finance division and the successful integration of a spate of acquisitions as part of its ‘buy-and-build’ strategy.
During the year 1pm more than doubled its available funding facilities to £162.6m, including a new £35m facility with the government-backed British Business Bank. It also said there had been greater opportunities for cross-selling with leads worth £13m generated in the final quarter of the financial year.
CEO Ian Smith said: “Our strategy of being a multi-product provider to SMEs and consumers, plus the flexibility to either fund, or broke-on, has enabled the group to generate robust levels of demand and hence these strong results.
“Improving risk management, operational efficiency and further strategic expansion, together with increased funding facilities, mean the group is well positioned to deliver great outcomes for customers and further growth for shareholders.”
Chairman John Newman added: “The results demonstrate that the foundations have been laid for further growth in the current financial year and the board is optimistic of continuing to increase value and returns for its shareholders.”
