(Alliance News) - Arbuthnot Banking Group PLC on Tuesday said it made "good progress" in the first half of the year as it reports a jump in revenue and profit.
Shares in Arbuthnot were up 16% at 1,100.00 pence each in London on Tuesday midday.
The London-based bank said pretax profit for the first six months of 2023 jumped to GBP26.4 million from GBP3.4 million a year prior. Revenue was GBP49.9 million, up 2.0% from GBP48.9 million the year before.
The lender noted that a more normalised Bank of England base rate helped increase revenue on both its lending and excess liquidity, as we well as profit.
Assets under management were up 7.7% to GBP1.4 billion from GBP1.3 billion a year before, driven by net inflows.
Arbuthnot declared an interim dividend of 19 pence per share, up 12% from 17p per share in the first half of 2022.
Looking ahead, the banking group said it remains "alert" to potential credit risk increases, but said it is well positioned for the year ahead due to "improved profitability, and robust financial strength."
Chair & Chief Executive Officer Henry Angest said: "The group made good progress in the first half of the year, with a substantial increase in profitability as the business model we have invested in over many years, focused on relationship-based banking and diversified lending to higher margin specialist sectors, continues to deliver for the group."
By Sabrina Penty; Alliance News reporter
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Arbuthnot (ARBB)