Time Finance plc (TIME) AI Stock Analysis

• Market Cap: £46.72M
• Dividend Yield: N/A
• Average Volume (3M): 263.05K
• Price to Earnings (P/E): 7.9
• Beta (1Y): 0.96
• Revenue Growth: 11.71%
• EPS Growth: 31.15%
• Country: UK
• Employees: 154
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): 0.03
• Shares Outstanding: 92,512,700
• 10 Day Avg. Volume: 193,237
• 30 Day Avg. Volume: 263,050
• PEG Ratio: 0.28
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 1.43
• P/FCF Ratio: 11.65
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £57.00
• Price Target Upside: 12.87% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 64 Neutral
• Price Target: 57.00p ▲(12.87% Upside)

Time Finance plc's overall stock score is driven primarily by its strong financial performance, characterized by robust revenue growth and profitability. The technical analysis indicates a bearish trend, which weighs down the score. The valuation suggests the stock is undervalued, but the lack of a dividend yield is a potential drawback for some investors.

Time Finance plc Business Overview & Revenue Model

Company Description

Time Finance plc (TIME) is a UK-based financial services company that specializes in providing a diverse range of funding solutions to small and medium-sized enterprises (SMEs). The company operates primarily in the alternative finance sector, offering products such as asset finance, invoice finance, and business loans. With a focus on supporting the growth and development of businesses, Time Finance aims to deliver tailored financial solutions that meet the unique needs of its clients.

How the Company Makes Money

Time Finance plc generates revenue through multiple streams, primarily by offering financial products that cater to the needs of SMEs. Key revenue streams include interest income from loans and finance agreements, fees associated with the origination and management of finance products, and commissions from invoice financing. The company typically earns money by charging interest on the capital it provides to businesses, which is often higher than the cost of borrowing. Additionally, Time Finance may establish partnerships with brokers and other financial institutions to expand its reach and customer base, further contributing to its earnings. The company's ability to assess credit risk effectively and its focus on providing quick and flexible financing options play a significant role in its revenue generation strategy.

Time Finance plc Financial Statement Overview

Summary

Time Finance plc demonstrates solid financial health with strong revenue growth and profitability. The balance sheet is robust with low leverage, and cash flow generation is improving. While the operating cash flow conversion is an area to watch, the company's financial position is stable, supporting future growth and shareholder returns.

Income Statement

Time Finance plc has shown consistent revenue growth over the years, with a 3.97% increase in the latest period. The company maintains strong profitability metrics, with a gross profit margin of 58.40% and a net profit margin of 15.79%. The EBIT and EBITDA margins are also robust at 22.20% and 23.63%, respectively, indicating efficient operations and cost management.

Balance Sheet

The balance sheet reflects a strong equity position with a low debt-to-equity ratio of 0.016, indicating minimal leverage and financial risk. The return on equity is 8.17%, which shows a decent return for shareholders. The equity ratio of 31.14% suggests a stable financial structure with a significant portion of assets financed by equity.

Cash Flow

Cash flow analysis reveals a significant improvement in free cash flow, with a growth rate of 28.44%. The operating cash flow to net income ratio is 0.06, which is relatively low, suggesting potential challenges in converting income to cash. However, the free cash flow to net income ratio is strong at 0.89, indicating good cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	37.12M	37.12M	33.23M	26.97M	22.49M	22.16M
Gross Profit	21.68M	21.68M	33.05M	15.37M	13.82M	12.85M
EBITDA	8.38M	8.77M	6.42M	4.72M	3.94M	3.55M
Net Income	5.86M	5.86M	4.44M	3.45M	921.00K	1.78M
Balance Sheet
Total Assets	230.34M	230.34M	209.74M	183.69M	153.31M	137.79M
Cash, Cash Equivalents and Short-Term Investments	4.97M	4.97M	1.59M	3.77M	3.17M	7.97M
Total Debt	1.18M	1.18M	1.87M	3.56M	4.25M	5.23M
Total Liabilities	158.57M	158.57M	143.60M	122.02M	95.26M	80.67M
Stockholders Equity	71.77M	71.77M	66.14M	61.67M	58.05M	57.12M
Cash Flow
Free Cash Flow	4.90M	4.57M	-420.00K	2.31M	-3.77M	5.35M
Operating Cash Flow	5.45M	5.11M	-170.00K	2.43M	-3.62M	5.66M
Investing Cash Flow	-543.00K	-205.00K	-154.00K	-129.00K	-154.00K	-511.00K
Financing Cash Flow	-1.52M	-1.52M	-1.86M	-1.45M	-979.00K	2.38M

Time Finance plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 50.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TIME, the sentiment is Negative. The current price of 50.5 is below the 20-day moving average (MA) of 53.42, below the 50-day MA of 53.84, and below the 200-day MA of 56.40, indicating a bearish trend. The MACD of -1.09 indicates Positive momentum. The RSI at 34.43 is Neutral, neither overbought nor oversold. The STOCH value of 22.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:TIME.

Time Finance plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DFCH	76 Outperform	£82.87M	6.13	12.34%	―	17.35%	91.55%
ORCH	74 Outperform	£12.71M	4.14	15.17%	1.68%	8.91%	94.32%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
TIME	64 Neutral	£46.72M	7.89	8.50%	―	11.71%	31.15%
LEND	46 Neutral	£2.29M	3.08	-1088.89%	―	30.78%	―

Time Finance plc Corporate Events

Time Finance Reports Record Revenues and Profitability for FY 2024/25

Time Finance plc has announced record revenues and profitability for the financial year ending 31 May 2025, surpassing market expectations. The company’s strategic focus on own-book lending and secured lending through Invoice Finance and Asset Finance has resulted in significant growth across key financial metrics, with a lending book that has grown for 16 consecutive quarters. As the company transitions into a new three-year growth plan, it remains well-positioned to continue its success and build long-term value for shareholders.

Time Finance Reports Record Revenues and Profitability, Exceeds Market Expectations

Time Finance plc has reported record revenues and profitability for the financial year ending 31 May 2025, surpassing market expectations. The company’s strategic focus on secured lending through Invoice Finance and Asset Finance has driven significant growth, with the lending book experiencing 16 consecutive quarters of expansion. Despite this growth, the company has maintained stable levels of arrears and write-offs, indicating strong credit quality. As Time Finance embarks on a new three-year growth plan, it remains well-positioned to continue building long-term value for shareholders.

Time Finance Enhances Stakeholder Engagement with New Investor Hub

Time Finance plc has launched an interactive investor hub website aimed at enhancing communication and engagement with its stakeholders, including existing and prospective shareholders. The new platform consolidates investor-focused content such as presentations, educational material, interviews, regulatory announcements, and financial reports, and offers an interactive experience where stakeholders can engage directly with the Time Finance team. This initiative is expected to strengthen the company’s relationship with its investors by providing a clearer view of its business operations and long-term ambitions, ultimately supporting its market positioning and stakeholder engagement.

Time Finance Announces Key Financial Calendar Dates Amid Strong Performance

Time Finance plc has announced key dates for its financial calendar, highlighting its strong performance throughout the first three quarters of the financial year ending 31 May 2025. The company has maintained positive trading momentum, driven by continued demand from UK businesses for its multi-product funding offerings. This has led the Board to express confidence that the financial performance will meet or exceed current market expectations. The company will release its full-year trading update on 26 June 2025 and its audited final results on 24 September 2025, along with a trading update for Q1 2025/26.