OSB Group PLC Trading Update Summary
OSB GROUP PLC, a specialist lending and retail savings group, is pleased to share its trading update for the nine-month period concluding on 30 September 2025. This report highlights the Group's steady growth and enhanced financial performance in line with expectations and strategic objectives.
Performance Insights for the Nine-Month Period
The financial statistics for OSB Group PLC demonstrated consistency and growth. As of 30 September 2025, the net loan book reached £25.6 billion, marking an increase of 1.8% since 31 December 2024. Total assets also grew, showing an increase of 2.4% to £30.9 billion. Importantly, retail deposits rose significantly by 6.0%, indicating a strong public trust and factor in the Group's funding strategy.
Key Highlights of Financial Performance
The higher loan originations achieved a significant 19% increase, reflecting the Group's drive toward expanding its service offerings. This growth is evidenced by originations totaling £3.4 billion compared to £2.8 billion during the same period of the previous year. Excluding a sale of a £130 million second charge mortgage portfolio, the net loan book would have grown by an additional 2.3% when compared to December 2024.
Financial Strength and Stability
OSB's Common Equity Tier 1 (CET1) ratio, a critical measure of financial health, was documented at 15.8%. This indicates resilience amidst corporate strategies aimed at optimizing the value of the loan book and adapting to evolving market conditions. The Group strategically focuses on profitable segments, ensuring stable margins and fostering growth in the higher-yielding segments.
Operational and Strategic Developments
Operationally, the Group has worked diligently to ensure credit quality across its loans remains robust. The three-month plus arrears rate remained stable at 1.7%, reflecting effective risk management practices. Additionally, the Group's share repurchase program, amounting to £100 million, illustrated proactive measures taken to bolster shareholder value.
CEO Commentary on OSB's Progress
Andy Golding, CEO of OSB GROUP PLC, expressed confidence in the Group’s strategic progress made in the nine months to September 2025. He noted, "We have effectively advanced our lending capabilities, particularly focusing on professional landlords and increasing activity in higher-performing segments. This aligns with our goal of improving risk-adjusted returns."
He highlighted the success of recent product launches catering to the residential market, which have resonated positively with clients, further enhancing origination volumes. The strategic disposal of the second charge mortgage portfolio was a pivotal moment for the Group, facilitating a sharper focus on core objectives and balance sheet optimization.
Looking Forward: Strategic Outlook
As OSB continues its transformation, the Group is mindful of potential challenges within the Buy-to-Let mortgage market. However, strong fundamentals in the UK Private Rented Sector offer optimism for future growth. The leadership remains dedicated to navigating these transition phases with plans that encourage success and yield competitive returns for stakeholders.
Contact Information and Enquiries
For investors and stakeholders wishing to engage with OSB GROUP PLC for more information or inquiries, please reach out to: OSB GROUP PLC, Investor Relations Alexander Holcroft / Richard Treacher / Monika Ziober, Brunswick Group: Phone: 01634 838 973
Frequently Asked Questions
What is the current net loan book of OSB Group PLC?
The net loan book of OSB Group PLC as of 30 September 2025 is £25.6 billion.
How did the loan originations change in 2025?
Loan originations increased by 19% to £3.4 billion compared to £2.8 billion in the previous year.
What is the CET1 ratio for OSB Group PLC?
The CET1 ratio is robust at 15.8%, signaling strong financial health.
What strategies is OSB Group focusing on for growth?
OSB Group is concentrating on high-yielding segments and enhancing their lending capabilities.
Who can be contacted for investor relations at OSB Group?
Investors can reach out to the Investor Relations team at OSB Group via the contact number 01634 838 973.
