Shares of S&U Plc (SUS.L) climbed about 5 percent Friday morning, after the home credit and motor finance provider said its trading remains in line with overall expectations.
In an Interim Management Statement for the period from February 1 to 24 May 2013, the firm said its cash generative Home Credit division helped to finance a very strong progress of its Motor Finance business.
Anthony Coombs, chairman of the firm stated, "The continuing success and growth of Advantage and the potential for renewed growth in home credit more than counter balance a generally sluggish and unpredictable economic recovery."
According to the firm, the Home Credit division maintains a solid performance against a background of restrained customer confidence, real incomes and uncertainties regarding state benefit changes. The company noted that the division's profitability is slightly down from last year, but cash generation was good and has considerably exceeded the first quarter of last year.
In Motor Finance, the firm's Advantage Finance, is now the larger part of S&U and its performance remains outstanding and even exceeds the levels of growth in 2012, it added.
SUS.L is currently trading at 1,261.4 pence, up 53.9 pence or 4.46 percent on the LSE.
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