LendInvest posts 133% leap in revenue but profit remains flat

LendInvest has posted a 133% leap in gross revenues for the year to 31 March 2016.

Revenue at the peer-to-peer mortgage lending group leapt to £32m, up from £14m in the year before. However, profit remained flat at £3.4m, compared to £3.3m in the previous year.

The flat profit was, said LendInvest, due to an increase in employee headcount, to 90 full time staff, from 34 previously, and investment in new technology.

Total annual lending almost doubled to £320m over the year, from £174m.

LendInvest claims it has been “resilient” to the uncertainty created by the UK vote to quit the European Union in June, with gross revenue for the four months of its financial year since March 59% up on last year.

Christian Faes, co-founder and chief executive, said: “In light of the headwinds that the Brexit vote has caused for the UK’s economy, it’s been particularly rewarding to see customer demand for our products still growing and we look forward to building on this positive momentum in the next year.

“We have invested heavily in recruitment, technology development and underwriting expertise to keep our credit standards high and defaults low.”

The group, which was spun out of propert financier Montello in 2013, manages around £300m on behalf of individual and institutional investors, and has lent £750m to professional property investors and developers across the UK.

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