Metro Bank Holdings PLC Reports Interim Results for H1 2024

Metro Bank Holdings PLC has announced its interim results for the half-year ending 30 June 2024. The bank reported an underlying loss before tax of £26.8 million, compared to a loss of £33.0 million in H2 2023. The decrease is attributed to a lower net interest margin of 1.64%, caused by higher deposit costs following a successful campaign in Q4 2023.

Operational highlights include the start of construction on new stores in Chester and a signed lease in Gateshead. Operating expenses were reduced by 6% to £255 million, and customer deposits stood at £15.7 billion. Total net loans were £11.5 billion, down 6% as the bank shifts towards higher yielding assets.

Key financial metrics include a CET1 capital ratio of 12.9% and an MREL ratio of 22.2%. The bank also announced a £2.5 billion mortgage portfolio sale post-period, expected to enhance earnings and capital ratios. Upgraded guidance suggests profitability by Q4 2024 and improved returns in subsequent years.