Hardman & Co Research : Arbuthnot Banking Group (ARBB): The power ranger of relationship deposit banking
Hardman & Co Research
Hardman & Co Research : Arbuthnot Banking Group (ARBB): The power ranger of relationship deposit banking
22-Jul-2022 / 10:50 GMT/BST
Hardman & Co Research on Arbuthnot Banking Group (ARBB):
The power ranger of relationship deposit banking
ABG smashed expectations with underlying 1H’22 profits of £10.7m, which is more than we had forecast for the full year. This was driven by widening margins in a rising rate environment, and, in particular, being a bank with relationship deposits rather than rate-sensitive best-buy accounts. Before getting too excited, we note 1H’21 was exceptional, and margins will normalise over time, but we have materially increased both FY’22 and FY’23 estimates, despite cost pressures. Current credit cost metrics continue to improve, and management indicates its forward-looking metrics show no signs of stress. Growth and new capital requirements are absorbing the previously large capital surplus.
Please click on the link below for the full report:
If you are interested in meeting the company, you can register your interest by clicking on the above link.
To contact us:
Hardman & Co
1 Frederick’s Place
London
EC2R 8AE
www.hardmanandco.com
Follow us on Twitter @HardmanandCo
Contact:
Mark Thomas
+44 (0)203 693 7075
Hardman & Co Research can still be accessed for free after MiFID II. Please click here to read the statement.
About Hardman & Co: For the past 25 years Hardman has been producing specialist research designed to improve investors’ understanding of companies, sectors, industries and investment securities. Our analysts are highly experienced in their sectors, and have often been highly rated by professional investors for their knowledge. Our focus is to raise companies’ profiles across the UK and abroad with outstanding research, investor engagement programmes and advisory services. Some of our notes have been commissioned by the company which is the subject of the note; this is clearly stated in the disclaimer where this is the case.
Hardman Research Ltd, trading as Hardman & Co, is an appointed representative of Capital Markets Strategy Ltd and is authorised and regulated by the Financial Conduct Authority; our FCA registration number is 600843. Hardman Research Ltd is registered at Companies House with number 8256259.
Our research is provided for the use of the professional investment community, market counterparties and sophisticated and high net worth investors as defined in the rules of the regulatory bodies. It is not intended to be made available to unsophisticated retail investors. Anyone who is unsure of their categorisation should consult their professional advisors. This research is neither an offer, nor a solicitation, to buy or sell any security. Please read the note for the full disclaimer.
Dissemination of a CORPORATE NEWS, transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
1404167 22-Jul-2022