28th Jul 2015 07:32
LONDON (Alliance News) - Provident Financial PLC, which lends to customers less able to borrow from mainstream banks, Tuesday said its profit in the first half was boosted by its Vanquis Bank and the Moneybarn vehicle lender it acquired for GBP120 million in 2014.
Provident Financial said it made a GBP111.1 million pretax profit in the six months ended June 30, compared with GBP90.1 million in the corresponding period the prior year.
Vanquis, which provides credit cards, provided GBP86.7 million of Provident Financial's pretax profit, up from GBP63.7 million in the same period of 2014. The Moneybarn business added GBP9.4 million to pretax profit, the first time the business has been included in Provident Financial's interim results since being acquired last August.
Pretax profit generated by the consumer credit, through which the company sends local agents to borrowers' homes to lend money and collect payments, increased by GBP1.0 million year-on=year to GBP38.0 million. The consumer credit division also includes an online lending operation, Satsuma.
Provident Financial increased its interim dividend to 39.2 pence per share from 34.1p.
Shares in the lender were up 1.2% at 2,989.00 pence on Tuesday morning in London.
By Samuel Agini; [email protected]; @samuelagini
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