Funding Circle Posts Strong H1 2026 Growth on SME Demand
Event summary
- Revenue grew 50% YoY to £138 million, with profit before tax rising to £23 million (HY 2025: £6 million).
- Total credit extended reached £1.7 billion, up from £1.1 billion in H1 2025.
- Assets under management (AuM) increased to £3.3 billion, with Term Loans AuM at £3.0 billion.
- FlexiPay and Card transactions surged 71% YoY to £640 million.
The big picture
Funding Circle's H1 2026 performance reflects strong SME demand and successful product innovation, particularly its shorter-term loan offering. The company's ability to scale cash-generative Term Loans while expanding higher-growth FlexiPay and Card products positions it well in the competitive fintech lending space. However, sustaining this momentum will depend on economic conditions and execution in product diversification.
What we're watching
- Revenue Sustainability
- Whether Funding Circle can maintain its strong revenue growth in H2 2026 amid normalizing SME demand.
- Product Scaling
- The pace at which FlexiPay and Card products can scale while maintaining profitability.
- Economic Sensitivity
- How broader economic conditions may impact SME borrowing behavior in the second half of 2026.
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