S&U eyes future with confidence

S&U PLC is a UK-based specialist motor finance & bridging lender. It is a holding company for two trading subsidiaries, Advantage Finance and Aspen Bridging,

Focussing on the non-prime used car market, Advantage Finance operates in the used car sector offering loans of up to GBP15,000 on a hire purchase basis.

Aspen Bridging was launched in 2017 to cater to the burgeoning short-term refurbishment and residential markets. Aspen Bridging lends up to GBP5 million per deal with an average loan of GBP500,000.

(, ) reported a strong first half with profits boosted by record collections and a lower-than-normal impairment charge.

The specialist motor and property bridging finance lender said pre-tax profits came in at GBP19.9mln in the six months to 31 July 2021, up from GBP6.3mln in the same period last year, with earnings per share rising to 133.1p from 41.9p.

Group income increased 5% to GBP42.8mln and net group receivables were 9% higher at GBP306.4mln.

Record collections and new customer quality led to a lower-than-normal impairment charge of GBP5.1mln, compared with GBP21.7mln in the first half of 2020 and GBP7.9mln in the same period in 2019.

(, ) () said trading was currently ahead of expectations “in terms of profitability, collections and book debt quality”.

Updating investors, the finance specialist said its Advantage motor operation continued to enjoy a “profitable, controlled and cash generative recovery”.

S & U PLC () said profitability has been ahead of expectations recently, with its property bridging loan arm set for a record year.

In a statement released ahead of the motor finance and property bridging lender’s annual general meeting today, the company said it had “weathered the COVID pandemic and its consequences quite superbly”.

(, ) (LSE:SUS, ) Anthony Coombs talks to Proactive London’s Katie Pilbeam about their strong first half with profits boosted by record collections and a lower-than-normal impairment charge.

Pre-tax profits came in at GBP19.9mln in the six months to 31 July 2021, up from GBP6.3mln in the same period last year, with earnings per share rising to 133.1p from 41.9p. Group income increased 5% to GBP42.8mln and net group receivables were 9% higher at GBP306.4mln.

Record collections and new customer quality led to a lower-than-normal impairment charge of GBP5.1mln, compared with GBP21.7mln in the first half of 2020 and GBP7.9mln in the same period in 2019.