Hardman & Co Research on Arbuthnot Banking Group (ARBB): 1H’24 - optimising the franchise value

Hardman Co Research on Arbuthnot Banking Group (ARBB)

1H’24: optimising the franchise value

ABG’s 1H'24 results showed the group’s continued evolution to optimise its franchise value. 2023 saw the peak benefits from ABG’s relationship deposit franchise in the recent rising rate environment. Margins could be widened while still giving customers competitive products. 1H’24 profits fell £6m (-21% on 1H’23), as low-cost fixed deposits matured and rolled into higher-rate products. The effect was mitigated by i) strong growth in specialist lending, the result of a multi-year strategy, ii) growth in lower-cost SME deposits (a new focus), and iii) the extended duration, and increased volume, of high-quality debt securities instead of placings at the Bank of England (BoE).

Please click on the link below for the full report:

https://hardmanandco.com/research/corporate-research/arbuthnot-1h24-optimising-franchise-value/

If you are interested in meeting the company, you can register your interest by clicking on the above link.

Hardman Co Research can still be accessed for free after MiFID II. Please click here to read the statement.

About Hardman Co: 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. Attention is drawn to the important disclaimers at the end of the report.