Arbuthnot Banking Group PLC has told the market that it expects its 2026 pre-tax profit to exceed earlier expectations. The private bank and Wealth manager, which is quoted on AIM and forms part of the FTSE AIM All Share Index, made the statement in its third-quarter trading update on 22 October 2026, according to the RNS listing.

The third-quarter update

The update, as summarised on the announcement page, reported year-on-year growth across its main measures. Customer loans and leased Assets rose 12% to £2.5 billion, funds under management and administration climbed 21% to £3.1 billion and customer deposits increased 10% to £4.9 billion. The group's specialist subsidiaries grew 26%. The board attributed its more positive profit view to Loan book growth, a stable Interest Rate environment and continued momentum in wealth management. The figures are taken from a summary rather than the full text and should be checked against the original announcement.

Interim results in July

The group published unaudited results for the six months to 30 June 2026 on 21 July 2026. Profit before tax was £11.0 million, against £10.9 million a year earlier, while Earnings Per Share rose to 49.9p from 42.5p. The Interim Dividend was set at 24p per share, up from 22p. Net assets per share stood at 1,712p. The bank also said it had reached its £10 billion client balances target ahead of schedule, and that lending in its specialist division passed £1 billion, at £1,049.4 million. Customer deposits were £4.78 billion, customer loans £2.45 billion and funds under management and administration £3.00 billion. The common Equity tier one Capital ratio was 12.0% and the total capital ratio 13.9%.

Corporate housekeeping

Several other announcements have marked the year. On 19 May 2026 the company held its Annual General Meeting and issued a trading update, and the next day it announced the appointment of a new non-executive director. On 1 June 2026 non-voting shares were admitted to trading on AIM. A directorate change was announced on 21 July 2026 and a change of nominated adviser on 31 July 2026. A director share dealing notice followed on 29 September 2026, and a holdings notification on 2 November 2026.

What the group does

Arbuthnot Banking Group combines banking, lending and wealth management. The figures above point to a Business with a deposit-funded loan book, a specialist lending arm that includes leased assets, and a fee-earning Wealth Management operation measured by funds under management.

Sector and index context

Smaller banks earn much of their income from the gap between what they pay depositors and what they charge borrowers, so interest rate expectations, funding costs and Credit quality are central to results. Wealth management adds fee income that follows market levels and client flows. Being a constituent of the FTSE AIM All Share Index reflects the company's AIM Quotation and says nothing, in itself, about performance or weighting.

Key risks

Banks of this scale are exposed to credit losses if economic conditions weaken, to competition for deposits, and to regulatory capital requirements. A change in interest rates could narrow margins, and wealth management Revenue can be sensitive to falls in asset values. Faster growth in lending also brings the need to maintain Underwriting standards.

What to watch next

Investors will look for full-year results, expected after the year end, to see whether profit lands above earlier expectations as indicated, and for the final dividend decision. Further commentary on capital ratios and deposit costs will also be of interest.