Bath-headquartered alternative lender Time Finance is forecasting that its annual sales and profits are likely to better than expected as its ‘back-to-basics’ strategy reaps rewards.
In March the firm, which specialises in asset, loan and invoice finance products, said concentrating on its core products had resulted in faster-than expected growth.
Its pre-tax profits soared by 172% to £3m in the nine-months ended 28 February on revenues up 28% to £20m.
And this week it told shareholders trading for the full financial year to 31 May was expected to be ahead of the latest market expectations.
“After 11 months of continued positive trading momentum, the board is confident that full-year revenue and profit before tax will now be not less than £26.7m and £4m respectively,” it said in a trading update.
The group, which grew rapidly through a series of acquisitions in the late 2010s under its previous name of 1pm, changed its strategy last year to concentrate on the key initiatives of investing in improved IT infrastructure to enable the business to scale more easily and maximising its multi-product offering as well as its own-book lending.
In March Time Finance said that the increase in revenue had been driven primarily by growth in its invoice finance division and the ‘hard asset’ subset of its asset division. Both growth areas operate in the larger-ticket, more secured lending arena.
It will provide a full trading update for its 2023 financial year on 29 June prior to publication of the full, audited 2023 financial statements on 26 September.
