BANK of Ireland’s car finance subsidiary Northridge has become one of Northern Ireland’s most profitable businesses in 2021.
Northridge Finance said it recorded a pre-tax profit of £52m for the 12 months to December 31, 2021, nearly five times the £11m reported in 2020.
The massive increase in profits came despite customer lending falling by nearly £200m in 2021.
Northridge said total operating profit increased by £10m to £62m in 2021.
The financial firm said the increase in operating profit was mainly due to an £8million dividend from Marshall Leasing. Northridge Finance acquired Cambridgeshire in 2017.
The exceptionally profitable year saw the payment of a £40 million dividend to Bank of Ireland UK.
Northridge Finance chief executive James McGee described it as “a solid performance in a difficult environment following the Covid-19 pandemic”.
He said: “We have continued to invest in significant digital enhancements for the automation of our loan decisions and the use of electronic signature documentation, both in the showroom and remotely, and those These have been well received in the car dealership market.
“We also introduced new products, such as a PCP product for used electric vehicles, which aims to make used electric vehicles more affordable and grow the market for ‘green’ used cars.
“With more new products and digital enhancements planned, including mid-proposal and customer self-service capabilities, Northridge remains a strong, dynamic, partner-focused company with innovation and an excellent reputation for customer service. heart of its future and we will focus on continuing to improve service and invest in new technologies so that we can serve our customers with flying colors.