SECURE TRUST BANK PLC - Interim Results

Secure Trust Bank PLC’s 1H26 investor update highlighted strong progress on its growth strategy, with higher lending, improved profitability, disciplined risk management and increased shareholder returns. Customer lending reached £3.5bn, while adjusted profit before tax rose 9.4% to £31.3m, supported by stable risk-adjusted margins and an improving cost of risk. The CET1 capital ratio increased to 14.3%, comfortably above the bank’s 13% ambition, providing flexibility to fund growth and return capital through an increased interim dividend and £10m share buyback programme. Secure Trust Bank has completed its strategic exit from vehicle finance, simplifying the group around Retail Finance, Business Finance and Savings, while pursuing product expansion, digital capability and capital discipline. New partnerships with Magnet and Centrica British Gas support expansion in home improvement finance, alongside growth in bridging and specialty finance and broader savings distribution. Management is targeting around 10% annual lending growth, a medium-term cost-to-income ratio of 35–40% and return on average equity above 16%, driven by operating leverage, cost efficiencies and disciplined underwriting. With approximately £15m of annualised run-rate cost savings already delivered or committed and further growth opportunities across specialist lending markets, Secure Trust Bank remains focused on improving margins, returns and operational efficiency while maintaining a strong capital position.