Provident Financial reinstate interim dividend at 9p per share

DividendMax Ltd.

Provident Financial reinstate interim dividend at 9p per share

Continued good recovery of the group underpins the Board's reinstatement of the interim dividend.

Other financial highlights include:

Group profit before tax and bid defence costs up 76.9% to £61.2m (2018: £34.6m).

Group adjusted profit before tax1 of £74.9m (2018: £74.9m), in line with internal plans and the first half of 2018. 

Improvement in the annualised return on assets from 5.3% to June 2018 to 7.7% to June 2019, with Vanquis Bank and Moneybarn both delivering returns above the group's target of 10%.

Strategic initiatives well underway to deliver the group's 'Vision for the Future', including a number of product developments, combining online loans capabilities and cost and funding efficiencies. 

Further strengthening of the senior management team and Board following the appointments of Neil Chandler as Managing Director of Vanquis Bank, Robert East as Chairman of Vanquis Bank and a member of the group Board and Graham Lindsay to the group Board.

Revolving syndicated facility successfully refinanced from £450m to a planned level of £235m, reflecting a lower funding requirement for the non-bank group now that Vanquis Bank is fully ring fenced and funded with retail deposits. 

The Board proposes an interim dividend of 9.0p per share (2018: nil), underpinned by the group's ongoing recovery.

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