S&U plc Q2 2026 Earnings Recap

S&U shares fell 3.6% after the results, with investors likely focused on near-flat reported profit before tax and rising funding costs as the group expands its loan books. Management reported 7% underlying PBT growth excluding an exceptional Aspen recovery in the prior-year period, but the headline increase was only 1%.

Key Takeaways

• Profit before tax was £15.7m, versus £15.6m a year earlier; revenue rose 11%.
• The impairment charge was broadly steady at £8.2m. Advantage repayments improved to 92% of amounts due from 90%, while Aspen loans past term fell to 17 of 259.
• Net receivables increased to £541m, up just over £100m year on year. Borrowings reached £285.1m and gearing rose to 114% from 97% at year-end.
• Finance costs increased around 30%; cost of sales rose 32%, mainly reflecting higher broker commissions on increased Advantage volumes.
• The interim dividend rose to 36p from 35p. The group said it was in the latter stages of arranging new warehouse facilities that would increase funding capacity from £337m to £650m.