3rd Mar 2016 09:28
LONDON (Alliance News) - Manx Financial Group PLC on Thursday reported "record" pretax profit in 2015, driven by its Conister Bank Ltd lender based in the Isle of Man.
The financial services group, which also owns independent financial adviser Edgewater Associates Ltd, prepaid card company Conister Card Services Ltd, and Manx Incahoot Ltd, said its pretax profit rose by 34% to GBP2.3 million in 2015, driven by an equal 34% increase in net interest income - the difference between interest received from borrowers and what is paid to savers - to GBP14.6 million
"I believe further liquidity will return to the traditional lending markets forcing pressure on yields and that interest rates in the UK will continue to remain at their historic low levels for most of 2016. With this backdrop, I believe that our lending strategy of growth through product extension will continue to be successful as we further increase our product range and source our liquidity through our fixed term rate structure," Jim Mellon, executive chairman, said.
"Our fixed-term deposits will also provide a partial shield against yield pressure in the more competitive lending markets. Thus I see no current reason as to why the year-end 2016 should not continue our profit growth at the same or similar rate," Mellon added.
Manx Financial will continue to review opportunities to make acquisitions, Mellon added.
The stock was down 0.3% at 11.84 pence on Thursday morning.
By Samuel Agini; [email protected]; @samuelagini
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