Its H1 2025 results showed this was a 2% growth on H2 2024 of Aldermore’s previous financial year.
Its profit before tax grew by 14% annually to £119.4m, which Aldermore said reflected a “robust trading performance, careful cost management and a lower impairment charge”.
However, compared to the preceding six months, its profit was 20% down on the £148.5m reported in the six months to June 2024.
The bank said its targeted approach to portfolio growth and the decision to prioritise sub-segments of the market that offered attractive returns allowed it to offset the pressure on its revenue resulting from lower interest rates.
Aldermore’s net interest margin was 18 basis points lower than the year before and 22 basis points down on the previous six months, coming to 3.81% in H1 2025.
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Its net interest income was just 1% lower year-on-year at £297.1m.
Aldermore said the group started the year well-positioned to drive continued portfolio growth and pay the remaining Term Funding SME, which had fallen from £1.06bn in H1 2024 to £465m by H1 2025. It said this was underpinned by a strong pipeline, robust capital position and stable funding base.
Steven Cooper (pictured), CEO of Aldermore Group, said: “We’re pleased to have delivered another strong period of performance, driven by healthy underlying trading, and prudent management of our costs. We continue to focus on building our resilience and ability to navigate a still-challenging economic environment, with ongoing inflationary pressures. Although interest rates may decline further this year, they remain elevated, and we’re proud to have grown our lending to continue to support our customers, helping empower them to live their lives and successfully build their businesses.
“This growth is underpinned by our strategic focus on delivering long-term value for our customers and shareholders, leaving us well-placed for the year ahead and for the longer term.”
