Funding Circle shares rose 10% to 229 pence in Tuesday morning trading after the London-listed lender lifted its 2026 earnings outlook, citing resilient demand from small and medium-sized businesses despite wider economic uncertainty.
The company now expects 2026 revenue of at least £275 million ($369.7 million) and a profit margin of around 16%, equivalent to £44 million. Its previous guidance called for revenue above £255 million and pretax profit of more than £40 million.
Funding Circle said momentum from the first half of the year had continued, with demand from small and medium-sized enterprises remaining resilient amid macroeconomic uncertainty. In 2025, it reported revenue of £204.3 million and pretax profit of £20.3 million.
The shares have gained 87% this year, making Funding Circle the biggest riser on the FTSE 250 during Tuesday morning trading. The index was up 0.6% at the time.
Cavendish analyst Rahim Karim said the update reinforced the view that the platform’s medium-term earnings potential was underappreciated. He pointed to further potential as the term loans business expands and FlexiPay moves towards profitability.
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