OSB Group reports 'resilient' YTD performance

(Sharecast News) - Private banking firm OSB Group said on Thursday that it had delivered a "resilient" performance in the opening months of 2026, with trading broadly in line with full‑year guidance. OSB reported a 0.9% increase in its net loan book in the first quarter, rising by £233m as originations grew 11% year‑on‑year to £1.2bn, supported by continued momentum in buy‑to‑let, residential and higher‑yielding sub‑segments.

Retail deposits rose 1.8%, or £447m, while the group repaid £350m of ILTR drawings, reducing the balance to £1.15bn at the end of March.

OSB said credit quality remained strong, with three‑months‑plus arrears steady at 1.7%, while IFRS 9 expected‑credit‑loss provisions increased slightly, reflecting updated macroeconomic assumptions. Risk‑weighted assets increased 0.6%, slightly below the pace of loan‑book growth, driven by higher buy‑to‑let balances.

The FTSE 250-listed firm's CET1 ratio stood at 15.1%, remaining robust after the launch of its £100m share buyback in March. OSB highlighted that it had repurchased £30.2m of shares under the programme, which was scheduled to run until March 2027.

Chief executive Andy Golding said: "The group delivered a resilient financial performance in the first quarter of 2026 and we continue to operate broadly in line with our 2026 guidance.

"Looking ahead, we are mindful of the ongoing uncertain geopolitical situation and its impact on the UK economy, the wider mortgage market and borrowers' affordability. In response, we are carefully managing the composition and growth of our loan book, with a continued focus on protecting returns whilst ensuring that our modelled IFRS 9 ECL provisions reflect the macroeconomic scenarios as they evolve."

As of 0945 BST, OSB shares were down 0.40% at 504p.

Reporting by Iain Gilbert at Sharecast.com

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