Secure Trust Bank (STB) Q3 2025 TU earnings summary

Executive summary

• Net lending book declined 4.1% in Q3'25 due to accelerated run-off of Non-Core Vehicle Finance and a small decrease in Core business.

• Core business net lending grew 10.3% year-over-year, with Retail Finance up 9.1% and Real Estate Finance up 12.6%.

• Strategic pivot away from Vehicle Finance, with new lending ceased and existing book in run-off.

Financial highlights

• Core net lending at £3,202m in Q3'25, down 2.2% sequentially but up 10.3% year-over-year.

• Non-Core net lending at £469m, down 15.8% sequentially and 12.4% year-over-year.

• Total deposits at £3,449m, down 1.7% sequentially but up 9.8% year-over-year.

• Core new business in Q3'25 was £426m, slightly above Q3'24 but below Q2'25 due to seasonality and softer Commercial Finance.

Outlook and guidance

• Underlying profit before tax for FY25 expected to fall below market expectations by up to £9m due to Vehicle Finance performance.

• Management remains confident in approximately 30% year-over-year growth in underlying profit before tax.

• Further details on exceptional costs related to Vehicle Finance exit to be provided in the 2025 Annual Report.