LONDON (Alliance News) - Funding Circle Holdings PLC said its loans under management increased significantly in the third quarter of 2018, led by its UK performance.
Funding Circle provides loans to small- and medium-sized businesses in the UK, US, Germany, and the Netherlands. As at September 30, its loans under management stood at GBP2.81 billion, up one third from GBP2.11 billion a year before.
The lender's UK performance showed the strongest improvement, and contributed most strongly to overall loans under management,rising to GBP2.01 billion from GBP1.58 billion, although increases were seen across all four of Funding Circle's geographic divisions.
Total originations were down at GBP1.61 billion from GBP1.74 billion, as UK originations dropped to GBP1.09 billion from GBP1.26 billion. All other divisions saw origination improvements during the period.
However, Funding Circle made the decision in 2017 to cease to provide loans to property developers in the UK, meaning that these results differ from the company's measurement of ongoing performance.
Excluding property, loans under management increased 61% to GBP1.78 billion from GBP1.73 billion and originations increased 45% to GBP564 million from GBP388 million.
Funding Circle floated on the London Stock Exchange on October 3, raising GBP300 million from its initial public offering. Its growth expectations for 2018 are unchanged since then, it said.
"The business continues to deliver our growth strategy and we remain focused on building Funding Circle for the long term," said Funding Circle Chief Executive Samir Desai.
Shares in Funding Circle were up 3.4% at 424.00 pence on Friday.
Funding Circle (FCH)