Customer base expanding at S&U

11th Aug 2010 13:53

Consumer and motor finance provider S & U traded in line with expectations in the six months to 31 July 2010.Its home credit business, Loansathome4U, increased revenues by 2% year on year and increased its customer base by 400. Impairment charges have remained stable.On the motor finance side, the company said its business had "more than maintained the excellent start it made to the financial year." Its Advantage brand has seen revenues increase by nearly a quarter on last year. Margins continue to improve while the quality of both new customers and the book as a whole is "very encouraging", the company said, as evidenced by three consecutive months of record collections in the reporting period. The company has paid off £4m of its loans during the period, reducing gearing to less than 53%."Our current trading, stable and expanding customer base and a stable regulatory environment under a new government, as well as a balanced and benign OFT [Office of Fair Trading] High Cost Credit Review, all make for optimism for the current year's outturn," the company said.