Funding Circle raises full-year guidance after profit quadruples

Funding Circle has lifted its full-year 2026 financial guidance after delivering strong first-half results, with revenue up 50% year-on-year and pre-tax profit quadrupling.

The UK SME finance platform now projects full-year 2026 revenue above £255 million, an increase from its earlier forecast of roughly £235 million. It also revised its pre-tax profit expectation upward to more than £40 million, compared with a prior target of at least £35 million.

In the six months through June 30, 2026, Funding Circle posted total income of £138.2 million and pre-tax profit of £24.1 million. Net income for the same period stood at £22.6 million.

The growth in revenue and profit was driven by robust loan origination volumes, underpinned by product innovation and strong demand from small and medium-sized enterprises, especially for shorter-term credit. FlexiPay and Credit Card offerings recorded sharp rises in both transactions and revenue, fueled by new customer acquisition and higher usage among existing clients.

Profitability strengthened as revenue growth exceeded cost increases, contributing to margin expansion.

For the longer term, Funding Circle established fiscal 2029 goals of £300 million to £350 million in revenue, with pre-tax profit margins in the low-to-mid 20% range.

The company also announced that it will initiate a new £25 million share repurchase program upon the conclusion of its existing buyback.

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