Provident Financial wins customers, profits rise

27th Jul 2011 10:08

Shares in Provident Financial jumped after the doorstep lender lifted half year profits on the back of higher customer numbers.Pre-tax profits in the half year to 30 June climbed to £62.3m from £54m as customer numbers increased to 2.4m from 2.3m. Provident provides financial services for "people whose needs are not always met on the high street." It operates two businesses, a consumer credit division and credit card provider Vanquis Bank."Credit quality in both businesses is very sound as evidenced by the favourable impairment trends in the first half of the year," chief executive Peter Crook said. "This provides the foundation for delivering good quality growth for 2011 as a whole. There will be no change to the cautious stance on extending new credit in recognition of the continuing pressure on consumers' real incomes and remaining uncertainty over the future direction of the employment market."At 10.45am shares in Provident Financial were up by 84p at 1,113p.