Vanquis Banking Group plc (‘the Group’), a leading specialist banking group with a focus on customers in the mid-cost and near-prime credit markets, today publishes its results for the six months ended 30 June 2023, unless otherwise stated.
Malcolm Le May, Chief Executive Officer, commented:
“The Group performed well during the first six months of 2023. We maintained our focus on disciplined receivables growth amid uncertain macroeconomic conditions, tight cost controls given persistently high inflation, and continued business investment to establish an operating platform for the future. I am also pleased to report that the Board is recommending an interim dividend of 5.0p per share.
The Group’s focus on enhancing asset quality, whilst operating in growing mid-cost and near-prime markets, enabled the Group to deliver attractive but disciplined receivables growth of 26% year on year. This resulted in an adjusted loss before tax of £5.5m (H1’22: adjusted profit before tax £54.3m) reflecting primarily the IFRS 9 impact of strong loan book growth, together with unplanned inflation driving higher costs. Given the focus on lower-risk mid-cost and near-prime markets in recent years, delinquency and arrears rates were broadly stable during the period despite a more challenging macroeconomic backdrop than anticipated at the start of the year. Our commitment to customer support is unwavering and we will continue to help our customers during this period of high inflation and beyond.
Finally, these results are my final results as CEO and I’m delighted to formally welcome my successor, Ian McLaughlin, who joined the business recently in July. I remain confident that the Group will continue to go from strength to strength under his leadership and I would like to wish him and the team all the best going forward.”