9 June 2016 – interim results

The group has announced its interim results covering the twelve month period to 31 March following the change in the year end to 30 September.  These have revealed a 67% increase in adjusted pre-tax profits to £3.5m (2015: £2.1m) whilst fully diluted earnings per share have risen by 38% to 1.8p (2015: 1.3p).  New business volumes have increased by 13% to £63m (2015: £56m) with the loan portfolio increasing by 12% to £112m (2015: £100m).  The group made a formal application for a banking licence on 13 May following an extensive consultation period and it is hoped that this will be granted before the end of 2016.  Although the shares have enjoyed a strong run over recent months the group is well positioned for further growth and justify a recommendation of HOLD.