11 August 2025
NewDay BondCo plc
Group results for the six months ended 30 June 2025
The information in this announcement concerns the consolidated financial results of NewDay Group (Jersey) Limited (“NewDay”, together with its subsidiaries and subsidiary undertakings, the “Group”) – a wholly owned subsidiary of Nemean TopCo Limited and indirect parent company of NewDay BondCo plc.
Highlights
Commenting on performance for the period, John Hourican, Group CEO said:
NewDay delivered a strong first half, with underlying profit before tax up 30% to £107 million. The AFS portfolio, acquired in February for £754 million, is performing well and adds £834 million of receivables and 2.2 million customers, bringing total receivables to £5.2 billion across 5.9 million customer accounts.
We saw continued improvement in key metrics, including a higher underlying risk-adjusted margin of 10.4%, lower underlying cost-income ratio of 27.0%, and strong free cash flow of £78 million allowing us to redeem £100m principal of Senior Secured Notes post-period end.
We also extended key partnerships with John Lewis & Partners and AO and strengthened our liquidity position with £1.9 billion of facility headroom.
With a resilient model and clear strategy, we’re well positioned for sustainable growth through the rest of 2025.
Summary of financial performance(1)
| Six months ended 30 June | |||
| £m | 2025 | 2024 | Variance (%) |
| Interest income | 618.8 | 533.8 | 16% |
| Cost of funds | (135.7) | (132.7) | (2%) |
| Net interest income | 483.1 | 401.1 | 20% |
| Fee and commission income | 40.1 | 32.1 | 25% |
| Net revenue | 523.2 | 433.2 | 21% |
| Impairment losses on loans and advances to customers | (274.5) | (216.8) | (27%) |
| Underlying risk-adjusted income | 248.7 | 216.4 | 15% |
| Servicing costs | (66.7) | (64.1) | (4%) |
| Change costs | (20.9) | (25.5) | 18% |
| Marketing and partner payments | (19.4) | (13.2) | (47%) |
| Collection fees | 15.0 | 11.6 | 29% |
| Contribution | 156.7 | 125.2 | 25% |
| Salaries, benefits, and overheads | (49.5) | (42.6) | (16%) |
| Underlying profit before tax | 107.2 | 82.6 | 30% |
| Add back: underlying depreciation and amortisation | 6.7 | 5.7 | 18% |
| Adjusted EBITDA | 113.9 | 88.3 | 29% |
| Corporate debt interest and related costs | (18.9) | (17.6) | (7%) |
| Impairment losses on loans and advances to customers arising on the initial recognition of the AFS portfolio | (49.7) | - | |
| Platform development costs | (19.7) | (5.7) | (246%) |
| Depreciation and amortisation including amortisation of intangible assets arising on the Acquisition | (8.8) | (13.8) | 36% |
| Statutory profit before tax | 16.8 | 51.2 | (67%) |
Selected alternative performance measures and operational metrics
| Six months ended 30 June | |||
| 2025 | 2024 | Variance (%) | |
| Gross receivables (£m) | 5,213 | 4,303 | 21% |
| Average gross receivables (£m) | 4,805 | 4,262 | 13% |
| Net revenue margin (%) | 21.8% | 20.3% | |
| Impairment rate (%) | 11.4% | 10.2% | |
| Charge-off rate (%) | 9.3% | 9.4% | |
| Underlying risk-adjusted margin (%) | 10.4% | 10.2% | |
| Underlying cost-income ratio (%) | 27.0% | 30.9% | |
| Servicing costs margin (%) | 2.8% | 3.0% | |
| Total accounts (m)(1) | 5.9 | 3.7 | 59% |
| New accounts (000s) | 2,510 | 296 | 748% |
| Advance rate (%)(2) | 89.7% | 89.3% |
Notes:
Enquiries
Investor Relations
Email: investor.relations@newday.co.uk
Media
Sodali & Co.
Email: newday@sodali.com
Results presentation
A webcast for analysts and investors will be held at 10:30 am (UK Time) on 11 August 2025. For video / listen-only and to ask written questions, please access via:
NewDay H1 2025 Results | SparkLive | LSEG
If you wish to view the presentation and participate in Q&A with management, please access via Zoom, using the link below:
Registration | NewDay H1 2025 Results
The presentation can be found at http://www.newday.co.uk/investors
About NewDay
NewDay is a leading digital consumer credit business in the UK, providing technology-enabled, highly flexible and innovative products directly to consumers and via its merchant relationships. The Group’s product offering includes credit cards and digital revolving credit, both incorporating BNPL and instalment finance functionality.
NewDay operates multiple Direct to Consumer products through well-known brands, such as Aqua, Fluid, Marbles and Bip – the UK’s first digital-only credit “card”.
NewDay also offers white-labelled credit cards and embedded finance products in partnership with well-known brands such as John Lewis & Partners, AO and Argos. The Group’s underwriting capability and over 20 years of experience enable it to say “yes” responsibly to more customers in the UK, making NewDay a merchant partner of choice for leading brands.
NewDay has a clear purpose: to help people move forward with credit. The business provides over five million customers with responsible access to credit. NewDay’s leading, highly scalable digital platform alongside its proprietary credit-decisioning capability, enables it to innovate continually within the UK consumer finance sector, to unlock competitive advantages and develop products that meet customers’ and merchants’ changing needs.