S & U rises on encouraging progress

9th Dec 2011 13:00

Home credit and car finance provider S&U saw a rise in shares after reporting "very satisfactory" progress during the period from 1 August 2011 to 8 December 2011.The firm's Home Credit division has said customer numbers are up just under 2% above last year and that debt quality continues to improve. "Home credit retains its cash generative qualities, costs are in line with budget, and we approach the all important Christmas trading period with confidence," the firm said. Meanwhile, Motor Finance is "maintaining its impressive form", with customer numbers up over 12% on last year. The division's debt quality is at its highest level as new customers perform to terms."Over the past quarter Motor Finance has broadened and refined its product range attracting higher income customers as well as nurturing its traditional customer base," the company added. The group is now set to repay its medium term loan with RBS ahead of schedule. Chairman Anthony Coombs commented: "Whilst it would be unwise in the current economic climate to take Christmas sales and collections for granted, current trading is strong and underpinned by a solid financial base." The share price rose 1.67% to 607.5p by 14:42.NR