OSB Group shares were up 0.8% to 563p in late morning trading on Wednesday, after the company reported organic originations of £1.1 billion over Q1 2022 from £1.1 billion in Q1 2021.
The specialist lending and retail savings group announced an underlying net loans and advances increase of 1% to £21.2 billion and a statutory net loans and advances rise of 1% to £21.4 billion, which came in line with management expectations.
The firm mentioned that three-plus months arrears remained stable during Q1, and the company confirmed that its underlying net interest margin in 2022 is currently expected to exceed 2021 due to the advantage of recent base rate rises.
The OSB Group also reported its repurchase of £21.6 million worth of shares as part of its £100 million share buyback programme.
“I am pleased with the Group’s performance so far this year. Application volumes continued to grow during the first quarter in our Buy-to-Let and Residential sub-segments supported by the commercial, semi-commercial and bridging products relaunched in January. Current demand for our products remains robust, building a strong pipeline for the remainder of the year,” said OSB Group CEO Andy Golding.
“Our capital position, secured loan book and proven risk management capabilities position us well to respond to the opportunities and challenges ahead.”
“We remain mindful of the ongoing impact of the rising cost of living and geopolitical uncertainty, however, we will deploy our resources to continue to deliver attractive, sustainable returns for our shareholders across the cycle.”