Strong financial performance and dividend increase
Adjusted profit before tax up 19.5% to £234.4m (2013: £196.1m) and adjusted earnings per share up 18.4% to 132.6p (2013: 112.0p).
Statutory profit before tax up 23.1% to £224.6m (2013: £182.4m) and basic earnings per share up 21.4% to 126.5p (2013: 104.2p).
Return on assets of 15.1%, with increase from 14.2% in 2013 attributable to CCD.
Total dividend per share up 15.3% to 98.0p (2013: 85.0p).
Robust funding position
Gearing reduced to 2.4 times (2013: 3.0 times) through equity raised to fund the acquisition of Moneybarn and strong capital generation.
Group fully funded to May 2018 following extension of £382.5m core bank facility by a further year.
Excellent growth and greater potential in Vanquis Bank
UK profit before tax up by 32.8% to £151.0m (2013: £113.7m).
Customer and average receivables growth of 17.7% and 30.9% respectively, reflecting strong momentum from addressing the under-served non-standard credit card market.
Year-end UK customer numbers of 1.3m and guidance for medium-term potential size of business increased to between 1.5 and 1.8 million customers with an average balance of approximately £1,000.
Polish start-up loss of £10.6m (2013: £7.6m) and decision made to withdraw from pilot operation at no material cost in 2015.
Repositioning of CCD substantially complete
Adjusted profit before tax up 1.4% to £103.9m (2013: £102.5m).
Customer numbers and receivables reduced by 29.1% and 20.5% respectively, through execution of plan to reposition the home credit business as a smaller, but leaner, better-quality business focused on returns.
Significant improvements in credit quality and collections have lifted the risk-adjusted margin sharply from 58.9% in 2013 to 69.1% in 2014.
Satsuma's online instalment lending capability now well developed and customer demand strong.
Highly encouraging start from Moneybarn
Adjusted profit before tax of £5.8m in the four months post-acquisition, in line with expectations.
Significant uplift in new business volumes as a result of access to the group's funding.
