Secure Trust Bank (STB) Trading update summary

Q1 2026 financial performance

• Net lending from continuing activities rose 1.5% quarter-on-quarter and 6.6% year-on-year, with Retail Finance up 7.3% year-on-year and Business Finance up 6.1% year-on-year, supported by new product growth.

• Customer deposits fell 10.3% in the quarter and 6.6% year-on-year, reflecting reduced funding needs after the sale of the Consumer Vehicle Finance business.

• New product initiatives gained traction, with key roles filled and technology development progressing, supporting a growing lending pipeline.

Capital and shareholder returns

• On track to launch a £10 million share buyback, pending regulatory approval.

• Maintains a progressive dividend policy and targets a Common Equity Tier 1 ratio of approximately 13.5%.

Strategic and operational outlook

• Confirms full-year 2026 guidance and remains confident in medium-term prospects despite macroeconomic instability.

• Medium-term targets include 8-10% annual net lending growth and return on average equity of 10% to over 16%.

• Interim results for the first half of 2026 will be released on 13 August 2026.