Metro Bank Holdings PLC
OTC:MTRBF
Metro Bank Holdings PLC
Metro Bank Holdings Plc is a bank holding company, which engages in the provision of banking services through its subsidiary. The company is a deposit-taking and lending institution with a focus on retail and small and medium-size commercial customers in the United Kingdom. Its personal banking services include bank accounts, savings, borrowing, mortgages, insurance, safe deposit boxes and private banking, among others. Its business banking services include business accounts, deposit accounts, borrowing options and insurance. Its business products include business bank accounts, commercial current accounts, community current accounts, foreign currency accounts and insolvency practitioner accounts. Its deposit account includes business instant access deposit account, business fixed term deposit account, business notice account, community instant access deposit account, community fixed term deposit account, client premium deposit account, and flexible client term deposit account. The company serves various sectors such as property, healthcare, and hospitality.
Metro Bank Holdings Plc is a bank holding company, which engages in the provision of banking services through its subsidiary. The company is a deposit-taking and lending institution with a focus on retail and small and medium-size commercial customers in the United Kingdom. Its personal banking services include bank accounts, savings, borrowing, mortgages, insurance, safe deposit boxes and private banking, among others. Its business banking services include business accounts, deposit accounts, borrowing options and insurance. Its business products include business bank accounts, commercial current accounts, community current accounts, foreign currency accounts and insolvency practitioner accounts. Its deposit account includes business instant access deposit account, business fixed term deposit account, business notice account, community instant access deposit account, community fixed term deposit account, client premium deposit account, and flexible client term deposit account. The company serves various sectors such as property, healthcare, and hospitality.
Turnaround Complete: Metro Bank declared its turnaround complete, achieving underlying profitability in Q4 2022, earlier than previously guided.
Profitability: The bank posted underlying profits in Q4 2022 and reduced statutory losses by 71% year-on-year to £72.7 million.
NIM Expansion: Net interest margin (NIM) rose sharply to 2.22% by year-end, driven by balance sheet repositioning and higher-yielding assets.
Operating Jaws: Strong revenue growth (+31%) and cost reduction (-3%) led to positive operating jaws of 34%.
Mid-Single-Digit RoTE Target: Management guided for a mid-single-digit return on tangible equity (RoTE) in 2024, with targets seen as achievable and sustainable.
Capital & Buffers: Metro Bank has remained above all regulatory minima and is focused on capital optimization, with no imminent need for a capital raise.
Deposit & Lending Growth: Current accounts and loan books grew strongly, while cost of deposits remained low and core deposits now fund 96% of the balance sheet.
Cost Discipline: Cost-to-income ratio improved to 93% in H2 2022, with further productivity and automation gains expected.
