Distribution Finance Capital Holdings PLC released its half-year report for the period ending June 30, 2024. The report highlights the companys significant growth in profitability, with a pre-tax profit of £9.2 million, up 187% from the previous year. The company also saw record new lending of £710 million, a 17% increase, supported by £1.1 billion in facilities and 1,250 dealers. The loan book reached £603 million, a 16% increase, with a strong net interest margin of 7.8%. The company also recognized a £1.7 million recovery on impaired RoyaleLife balance and expects an additional £3 million upside in FY25. DF Capitals cost efficiency improved, resulting in a cost-to-income ratio of 58.8%. The company achieved a double-digit post-tax return on equity of 10.3% and had retail deposits of £579 million from over 14,600 accounts. The tangible net assets grew to £107 million, with TNAV per share up 4.9p to 59.6p. The report also includes financial highlights, a CEO statement, and information on the companys loan book, deposits, and regulatory capital.
| Financials | 2024 | 2023 | 2022 |
|---|---|---|---|
| Gross revenues (£m) | 37.9 | 27.3 | 60.4 |
| Profit before taxation (£m) | 9.2 | 3.2 | 4.6 |
| Profit after taxation (£m) | 6.7 | 2.3 | 3.2 |
| Loan book principal (£m) | 603 | 519 | 581 |
| Net assets (£m) | 107.6 | 98.8 | 100.4 |
| Customer deposits (£m) | 579.0 | 498.4 | 574.6 |
| Regulatory capital (£m) | 100.0 | 80.2 | 89.5 |
| Common Equity Tier 1 capital ratio | 23.2% | 22.7% | 22.8% |
| Regulatory capital (as a % of RWA) | 25.9% | 22.7% | 25.8% |
| Gross yield | 12.1% | 10.6% | 11.1% |
| Net interest margin | 7.8% | 7.5% | 7.6% |
| Average cost of retail deposits | 5.1% | 3.7% | 4.3% |
| Cost of risk | 0.04% | 1.55% | 2.28% |
| Impairment loss coverage on loans to customers | 0.83% | 1.38% | 2.50% |
| Cost income ratio | 59% | 61% | 58% |
| Basic earnings per share (pence) | 3.8 | 1.0 | 1.8 |
| Tangible net asset value per share (pence) | 59.6 | 54.7 | 55.6 |