By S&U, the auto and property-finance company, has encountered obstacles due to the U.K.’s economic policies and decreased consumer confidence. However, despite these challenges, the company has observed an increase in transactions and new customers in the period from May 21 to July 31.
Motor-Finance Business Takes a Hit
In the first half, S&U’s motor-finance business, Advantage, saw a decline of 11% in advance levels compared to the previous year. This drop can be attributed to a slower and more price-competitive market during this time. As of the end of July, it reported net receivables of approximately GBP313 million.
Aspen Bridging Struggles, but Improvements Emerge
S&U’s Aspen Bridging business experienced fewer new business transactions than anticipated. However, this setback has been partially mitigated by improvements in interest rates and a reduction in variable costs. By the end of July, Aspen Bridging had net receivables of around GBP104 million. The company predicts significant progress in the second half.
Future Outlook
S&U, a London-listed company, is set to release its first-half results on October 3. While challenges persist, promising signs in recent trading suggest potential growth for the future.
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