Provident Financial increases its 2016 full year dividend by 12.1%

DividendMax Ltd.

Provident Financial increases its 2016 full year dividend by 12.1%

Strong financial performance and dividend increase

Adjusted profit before tax up 14.1% to £334.1m (2015: £292.9m) and adjusted basic earnings per share up 9.2% to 177.5p (2015: 162.6p).

Statutory profit before tax up 25.7% to £343.9m (2015: £273.6m) and basic earnings per share up 19.8% to 181.8p (2015: 151.8p).

Return on assets of 15.3%, reduced from 16.1% in 2015 due to the impact of the 8% bank corporation tax surcharge on Vanquis Bank profits which became effective from 1 January 2016.

Total dividend per share up 12.1% to 134.6p (2015: 120.1p), supported by strong capital generation.

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