Nottingham Building Society
24 February 2005
Nottingham Building Society
2004 results
Nottingham Building Society has today announced its results for 2004
• Total assets grew to £2,190 million, an increase of 14.6%
• Record gross mortgage lending of £629 million
• Group management expenses ratio reduced to 0.94% of mean assets
• Pre-tax profit limited to £9.4 million
• Group reserves increased by £6.4 million to £122.7 million
Commenting on these results, Stuart Brandreth, managing director of Nottingham Building Society said:
'The Society enjoyed an excellent performance in 2004, with record lending underpinned by the appropriate
level of funding. Our policy of profit containment, whilst ensuring capital is held at a prudent level,
continues to allow us to compete strongly without compromising our responsible lending criteria. Reducing
our management expenses ratio is always a priority and I am very pleased to see the progress made in 2004.
The thrust of our strategy as a mutual building society is to deliver extra value to our members whilst
maintaining a strong capital position.'
Consolidated income and expenditure account
for the year ended 31 December 2004
Audited
2004 2003
£ 000 £ 000
Net interest receivable 20,599 19,374
Other income and charges 7,965 8,104
Total income 28,564 27,478
Administrative expenses 17,851 16,978
Depreciation and amortisation 1,438 1,666
Profit before provisions 9,275 8,834
Provisions for bad and doubtful debts (108) (244)
Profit on ordinary activities before tax 9,383 9,078
Tax on profit on ordinary activities 3,025 2,849
Profit for the financial year 6,358 6,229
The Group had no recognized gains or losses other than the profit for each financial year.
As a percentage of mean total assets
Profit for the financial year 0.31% 0.33%
Management expenses 0.94% 1.00%
Consolidated balance sheet
as at 31 December 2004
Audited
2004 2003
£ 000 £ 000
Assets
Liquid assets 342,833 324,334
Loans and advances to customers 1,826,222 1,574,860
Tangible fixed assets 7,405 7,870
Other assets 13,726 4,803
Total assets 2,190,186 1,911,867
Liabilities
Shares 1,650,771 1,423,164
Borrowings 386,418 341,769
Other liabilities 6,297 6,637
Subscribed capital 24,022 23,977
Reserves 122,678 116,320
Total liabilities 2,190,186 1,911,867
As a percentage of shares and borrowings
Gross capital 7.20% 7.95%
Free capital 6.93% 7.62%
Liquid assets 16.83% 18.38%
Consolidated cash flow statement
for the year ended 31 December 2004
Audited
2004 2003
£ 000 £ 000
Net cash inflow from operating activities 35,302 30,777
Returns on investments and servicing of finance
Interest paid on permanent interest bearing shares (1,969) (1,969)
Taxation (2,843) (3,189)
Capital expenditure and financial investment
Purchase of tangible fixed assets (798) (452)
Purchase of debt securities (618,103) (675,002)
Disposal of debt securities 590,000 650,000
Increase in cash 1,589 165
This information is provided by RNS
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