Aldermore sees profit before tax almost double

Aldermore Group’s profit before tax for the six months ended 31st December 2021 has reached £110.1m, 91% higher than the same period last year.

Its business finance net lending also rose to £3.3bn — a £200m increase compared to the first half of 2021 — with growth achieved across all business lines.

However, its retail mortgage net lending dropped by £200m to £7.1bn, as growth in owner-occupied was offset by high levels of redemptions in BTL, driven by an expected increase in five-year fixed-rate product maturities.

Overall, the group net lending increased by 3% compared to the first six months of 2021, reaching £13.9bn.

Total customer deposits rose by 5% to £13.1bn (30 June 2021: £12.4bn), with the majority of growth in personal savings, as the group sought to optimise deposit mix while actively responding to market and customer demand.

In addition, the group has seen its customer base grow to 690,000 in the last six months.

Steven Cooper, CEO at Aldermore Group (pictured above) said: “Despite ongoing macroeconomic uncertainty, I’m pleased with our performance and the momentum on which we can build. 

“We continue our focus on helping UK businesses and have seen growth in demand for specialist finance across all our SME product areas. 

“Within retail mortgages, there was steady growth in the owner-occupied book and BTL achieved record levels of product switches. 

“Through improvements in our operational capacity, we’ve driven increases in the pipeline, leaving us well positioned for the second half of the year. 

“We have responded quickly to market changes and customer demand to deliver consistent choice and competitive products for savers. 

“The growth in our deposits demonstrates the success of our customer-focused offering and the stability of our funding model to support our growing lending portfolio.

“Looking ahead, we are confident in our ability to build on this momentum, making use of our financial strength, business expertise and first-class products and services to back our customers through the current challenging economic environment and beyond.”

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