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OSB Group PLC on Thursday said profit increased in 2022 as it lifted its total dividend by 62%. OSB is a Chatham, Kent-based mortgage specialist, formerly known as OneSavings Bank PLC. The company reported 2022 pretax profit of £531.5 million, up 14% from £464.6 million in 2021, due to growth in the company’s loan book, improved net interest margin and net fair value gains on financial instruments. OSB said the net interest margin in 2022 was 2.78%, increasing from 2.53% from a year ago, while net interest income was £709.9 million, increasing 21% from £587.6 million in 2021, on the back of loan book growth and benefits from rising interest rates. OSB announced a final dividend of 21.8 pence per share, up 3.3% from 21.1p a year earlier. In addition, it declared an 11.7p special dividend. Including its interim payout, it meant its total dividend grew 62% to 42.2p from 26.0p. OSB, like some of its large-cap peers, also announced a share buyback with its annual results. The company said it will repurchase £150 million worth of stock between now and this time next year. The aim of the buyback is to help to deliver ‘attractive and sustainable returns to shareholders across the cycle’, OSB said. Chief Executive Officer Andy Golding said: ‘Our business model and strategy continue to deliver strong outcomes. We are capitalising on continued demand for our specialist lending products and are identifying opportunities to further digitise our business operations to deliver additional efficiencies. ‘We will continue to invest in the group to ensure it remains well-positioned to meet the changing needs of our customers, brokers and wider stakeholders. I remain confident in the outlook for the group and our ability to deliver sustainable and attractive returns for our shareholders.’ OSB shares rose 9.8% to 521.75 pence each in London on Thursday morning. Copyright 2023 Alliance News Ltd. All Rights Reserved.
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