S&U trading in line

Home credit and motor finance provider S&U said current trading is satisfactory and expects to meet full year market expectations.

Home credit and motor finance provider S&U said current trading is satisfactory and expects to meet full year market expectations.

Underlining its confidence in future trading, the group said it plans to pay a total dividend for the year ended January 31st of at least 44p compared to last year's 41p.

Among its two main divisions, the doorstep lender said trading at its home credit division was in January was good.

"Debt quality remains strong and, following encouraging results in pilot areas, new products are being introduced which will extend the appeal of home credit to a broader customer base," the group said in a company statement.

Its motor finance business saw its best-ever transactions and collections figures during the fourth quarter, with customer numbers now close to 15,000. S&U said it anticipates further growth in this division.

The group said it continues to invest in motor finance, whilst benefiting from good cash generation in home credit.

Borrowings are higher than last year, but its said its financial position remains strong. Group gearing remained at around 34%.

Chairman Anthony Coombs said: "The continued success of our business during subdued, even recessionary times should not be taken for granted...We approach our 75th anniversary with confidence".

CJ

Recommended

Get healthy returns from these three healthcare stocks
Share tips

Get healthy returns from these three healthcare stocks

Professional investor Paul Major of the BB Healthcare Trust highlights three of his favourite healthcare stocks.
25 Oct 2021
Share tips of the week – 22 October
Share tips

Share tips of the week – 22 October

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
22 Oct 2021
Three dividend stocks from the dynamic Asia/Pacific region
Share tips

Three dividend stocks from the dynamic Asia/Pacific region

Professional investor Sat Duhra of the Henderson Far East Income investment trust highlights three of his favourite stocks.
18 Oct 2021
Share tips of the week – 15 October
Share tips

Share tips of the week – 15 October

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
15 Oct 2021

Most Popular

Properties for sale for around £1m
Houses for sale

Properties for sale for around £1m

From a stone-built farmhouse in the Snowdonia National Park, to a Victorian terraced house close to London’s Regent’s Canal, eight of the best propert…
15 Oct 2021
How to invest as we move to a hydrogen economy
Energy

How to invest as we move to a hydrogen economy

The government has started to roll out its plans for switching us over from fossil fuels to hydrogen and renewable energy. Should investors buy in? St…
8 Oct 2021
Emerging markets: the Brics never lived up to their promise – but is now the time to buy?
Emerging markets

Emerging markets: the Brics never lived up to their promise – but is now the time to buy?

Twenty years ago hopes were high for Brazil, Russia, India and China – the “Brics” emerging-market economies. But only China has beaten expectations. …
18 Oct 2021