Together Financial Services Limited, the Cheadle, Cheshire-based non-bank relationship lender, announced results for the quarter ended September 30, 2024, showing average monthly lending of £269.3 million, up 20.5% on Q1 of 2024 and down 3.5% on Q4 of 2024.

Group net loan book increased to £7.6 billion, up 14.7% on Q1 of 2024 and up 3% on Q4 of 2024.

“In line with the wider industry, we are seeing some increases in arrears and continue to manage carefully,” said Together.

The firm reported interest receivable and similar income of £214.5 million. Net interest margin remained in line with prior quarter at 5.2%.

Underlying profit before tax was £53.7 million, up 12.6% on Q1 of 2024.

“Cash receipts of £787.6m (Q1’24: £653.8m; Q4’24: £723.9m) as redemptions remained strong,” said the firm.

Together Financial Services chairman Mike McTighe said: “Together delivered another strong performance in the quarter to 30 September, growing the loan book to £7.6bn while the Group remained highly profitable and cash generative.

“Originations remained robust as we further increased interest receivable and similar income, underlying profit before tax and cash receipts during the quarter, and we successfully raised or refinanced over £1bn of facilities to end the period with c£1.0bn of funding headroom.

“We have continued to strengthen and enhance our Executive team, announcing the appointment of Richard Rowntree as our new CEO and promoting Chris Adams to CFO and John Barker to CEO of our Personal Finance division. We were also delighted to be named one of ‘Europe’s Long-term Growth Champions’ by the Financial Times in October.

“While inflation is now close to the Bank of England’s target and interest rates are continuing to reduce gradually, UK economic growth is forecast to remain modest. Against this backdrop and as evidenced by our recent residential property market report, we expect many more customers will be underserved by mainstream lenders and look to specialist lenders, like Together, for support.

“We will continue to be there to help our customers realise their ambitions and to play our part in supporting the UK economy, as we have for the last 50 years.”