S&U (SUS) H1 2026 earnings summary

Executive summary

• Profit before tax increased 22% year-on-year to £15.6m, with record results at Aspen and recovering profits at Advantage.

• Revenue declined 14% to £51.8m, but basic EPS rose to 95.5p and interim dividend increased to 35p per share.

• Recovery from previous regulatory and economic headwinds is underway, with strong trading at both divisions.

• Regulatory and economic challenges from prior years have abated, supporting a positive outlook.

• Net group receivables decreased to £426.8m, and net borrowings reduced to £180m, lowering gearing to 75%.

Financial highlights

• Revenue declined 14% year-on-year to £51.8m due to a contraction in the loan book and a cautious lending approach.

• Group impairment charge fell 57% to £8.1m, reflecting improved repayments and collections.

• Net borrowings reduced to £180m, with gearing down from 103% to 75% year-on-year.

• Net finance costs decreased 31% to £6.6m due to lower borrowings and SONIA rates.

• Interim dividend increased to 35p per share, with £8.5m paid in the first half.

Outlook and guidance

• Both divisions report strong momentum, with record lending months and positive growth expectations for H2.

• Management expects further strengthening in H2 and a firm basis for future growth.

• Ample funding headroom and low gearing provide scope for future growth.

• Funding review underway to secure more cost-effective financing and support future growth.

• Trading remains subject to consumer confidence and economic conditions, but overall outlook is positive.