Since these results for Non-Standard Finance (NSF) only include trading from Loans at Home (previously called 'Loansathome4u'), and close to three months' contribution from Everyday Loans and Trusttwo , the table below hardly tells the full story. There were other good signs, though: the sub-prime lender forged ahead of its targets for growing Loans at Home's agent and active client numbers, as well as its loan book.
The division, which was formerly owned by S&U (SUS), grew its agents by half to 840, with around half of these recruited from rival home credit businesses. Active customers increased 13 per cent to 98,000, with new recruits poaching their former customers when the terms of their loans have expired. The net value of loans issued grew a quarter to £27m.
At Everyday Loans - where customers apply for loans remotely before attending a face-to-face interview - the focus is on expanding the branch network and the product range. Management has identified the potential for a further 20 branches, in addition to its existing 36. Preston opened in July, and four more are planned during the second half. By the year-end, around four in five postcodes will be within a 30-minute drive of a branch.
Broker Peel Hunt expects adjusted pre-tax profit of £15.2m in the year to December 2016, giving EPS of 3.6p.
NON-STANDARD FINANCE (NSF) | ||||
|---|---|---|---|---|
| ORD PRICE: | 63p | MARKET VALUE: | £200m | |
| TOUCH: | 63-67.75p | 12-MONTH HIGH: | 103p | LOW: 55p |
| DIVIDEND YIELD: | 0.5% | PE RATIO: | na | |
| NET ASSET VALUE: | 80p* | NET CASH: | £5m | |
| Half-year to 30 June | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2015 ** | 0.0 | -0.9 | -2.2 | nil |
| 2016 | 29.1 | -6.0 | -1.7 | 0.3 |
| % change | - | - | - | - |
Ex-div: 22 Sep Payment: 19 Oct *Includes intangible assets of £155m, or 49p a share **From incorporation in July 2014 | ||||
