4th Aug 2026 11:02
(Alliance News) - Metro Bank Holdings PLC on Tuesday reported double-digit profit and lending growth for its first half, and reaffirmed its forecasts for the current and subsequent years.
However, possibly due to profit taking, its shares were down 9.0% at 163.40 pence on Tuesday in London. They have climbed 37% during the year to date.
Metro Bank reported pretax profit of GBP49.0 million for the first half of 2026, up 61% from GBP30.4 million the previous year. Earnings per share edged up to 4.7p from 4.5p.
Underlying pretax profit rose 34% to GBP60.6 million from GBP45.1 million, making this period "the most profitable half in Metro Bank's history".
Total underlying revenue, which excludes grant income from the Capability & Innovation fund and net earnings from portfolio sales, rose 5% to GBP301.0 million from GBP286.1 million. Metro Bank also reported a "record" 43% jump in core lending as it "[won] market share".
The lender's CET1 capital ratio narrowed to 12.3% from 12.8%, and its return on tangible equity grew to 7.5% from 7%.
Assets increased 4% to GBP17.03 billion from GBP16.43 billion, while net loans rose by the same amount to GBP9.07 billion from GBP8.72 billion.
"The first half of the year has been another period of strong momentum and strategic delivery for Metro Bank. Our continued progress reflects a business executing with discipline across revenue growth, cost management and improving returns.
"Our relationship banking model is delivering a clear competitive advantage," commented Chief Executive Officer Daniel Frumkin. "We continue to invest in growth, signing three new store leases to bring Metro Bank to new communities, and adding new products and services in response to customer demand.
"Alongside the lowest cost of deposits of any UK High Street bank, our growing mix of higher-yielding corporate, commercial and specialist mortgage lending is driving stronger risk-adjusted returns."
Looking ahead, Metro Bank reaffirmed "all guidance for [2026] and beyond," highlighting its forecast of an RoTE exceeding 13% in the fourth quarter, 15% in 2027, and 18% in 2028.
"As we move into the next half of the year, our record-high credit approved pipeline gives us a strong platform for further targeted lending which, along with the repricing of treasury assets, will deliver additional [net interest margin] and RoTE uplift," Frumkin said, adding that Metro Bank "[looks] ahead with confidence".
By Emma Curzon, Alliance News reporter
Comments and questions to [email protected]
Copyright 2026 Alliance News Ltd. All Rights Reserved.
Related Shares:
Metro Bank