Provident Financial Share Discussion Threads

[smurfy2001] 16/1/2018 16:20

CCNP,

From FT Alphaville:-

There's no new problems in here, just the old problems. Though the old problems are now getting so bad that debt coventants are once again something to worry about.

It's unusual in the sense that the bad news is only incremental. As in, home collection losses at the top end of previous guidance post the disaster rejig of the sales force.

So who knows? Woodford i'd imagine still has confidence in the business but will be interesting to see any view from him. I'd imagine he still has quite an investment here.

[smurfy2001] 16/1/2018 16:11

Target reached.

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smurfy200116 Jan '18 - 11:35 - 2547 of 2552 Edit
Not far now.

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smurfy200111 Jan '18 - 20:53 - 2535 of 2546
Usual drift down towards 800p?

[ccnp] 16/1/2018 15:02

Do I hear a 'yet?'

[smurfy2001] 16/1/2018 13:54

Well at least it's not back down to 4xx pence? ;)

[wad collector] 16/1/2018 13:52

....just when it looked like the share price was going to climb slowly out of the woes of 2017, back down we go. These managers who have f@@ked up a good model whilst collecting some good money themselves deserve to have their assets seized.

[smurfy2001] 16/1/2018 11:35

Not far now.

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smurfy200111 Jan '18 - 20:53 - 2535 of 2546
Usual drift down towards 800p?

[smurfy2001] 16/1/2018 11:21

LONDON (Alliance News) - Sub-prime lender Provident Financial PLC said Tuesday its home credit arm made good progress in its recovery in the final quarter of 2017 but still faces a loss at the upper end of previous guidance.

Provident's home credit arm CCD made good progress implementing its recovery plan, with collections performance in December at 78%, up from 65% in September.

Active home credit customer numbers as at the end of 2017 was 530,000, up from 500,000 in September, and home credit receivables in December was GBP350.0 million, up from GBP316.0 million at September.

However the disruption caused by moving to a new operating model, as well as having to reconnect to lost customers, is set to cause a pre-exceptional loss for the CCD division in 2017 of GBP120.0 million, at the upper end of the range of GBP80.0 million to GBP120.0 million guided by the company back in August.

Meanwhile, Provident's credit card business Vanquis Bank saw total new customer bookings rise to 437,000, up from 406,000 in 2016, and customer numbers ending the year at 1.7 million, up 11% year-on-year, boosted by actions to enhance distribution, including the launch of the Chrome near-prime credit card.

However in the fourth quarter of 2017, new customer bookings were at 93,000, down by 20% from the same period the year before, due to tightened underwriting during the third quarter and heightened macroeconomic uncertainties.

Delinquency levels in the fourth quarter for Vanquis remained stable, reflecting a stable UK employment market.

Moneybarn, Provident's motor finance arm, saw a good flow of new business volumes in the quarter despite tighter underwriting, with customer number and receivables at 50,000 and GBP376.0 million, up 22% and 26% respectively from the prior year.

Both Vanquis and Moneybarn have engaged with the UK Financial Conduct Authority to resolve the investigation in relation to customer affordability assessments and the treatment of customers in financial difficulties, Provident said.

The requirement that Vanquis suspend all new sales of the Repayment Option Plan since April 2016 is still in place, as is the agreement with the UK Prudential Regulation Authority to not pay dividends to Provident also remains in place.

Shares in Provident Financial were down 2.7% at 895.00 pence on Tuesday.

By Dayo Laniyan; [e-mail]

Copyright 2018 Alliance News Limited. All Rights Reserved

[sippguru] 16/1/2018 09:40

No umwitw, it is not money coming in. It is the maturity of loan notes, i.e. debt the company has. Give me strength. Yet more cash for the business to find, next up, bond debt. Then need to find cash to cover the inevitable fines and compo headed their way.

[umitw] 16/1/2018 09:28

BUZZ-Street View: Provident Financial's outlook challenging16 Jan 2018 09:09* British sub-prime lender Provident Financial -4.5%; stock top pct loser on the FTSE Midcap index * Co sees 120 mln stg loss at consumer credit unit in 2017 - at the upper end of its guidance [nL3N1PB2O3]* Says total new customer bookings at its Vanquis Bank for2017 were 437,000, up from 406,000 in 2016* Vanquis Bank and Moneybarn units had both started talking to the Financial Conduct Authority (FCA) with a "view to reaching a resolution to their respective investigations".Street's First Impressions* Liberum (rating: "sell," PT: 483p) says Vanquis appears to be running behind expectations in terms of new bookings, which suggests its forward forecasts could be negatively impacted* Goodbody analyst John Cronin says PFG is struggling to win back the customers it lost which could be a structural issue for the business* Jefferies (rating: "hold," PT 915p) says regulation remains an overhang for the company and the share price* We see it as a positive that dialogue with the FCA has now actually started but there can be no guarantee that a common view will be reached - Jefferies

[scemer] 16/1/2018 09:03

Headroom of £66million committed debt, business stabilising

[umitw] 16/1/2018 08:59

Private placement of £20 million notes due on March 2018. Money coming in

[dexdringle] 16/1/2018 08:46

My Retirement Fund saisD

"Surley needs to make a huge cash call to shareholders to stay solvent ?"

What makes you think they are insolvent ? Illiquid maybe, but insolvent ?

[my retirement fund] 16/1/2018 08:11

Surley needs to make a huge cash call to shareholders to stay solvent ?

[sippguru] 16/1/2018 07:35

So, cash at bank, £34M. Loans due in January and March, £35M. Will someone kindly put these guys out of their misery.

[umitw] 15/1/2018 09:16

I think there is a new trading statement is due today!

[dexdringle] 12/1/2018 08:54

CCNP. I don't understand. I paid £6.50 each for these. Why should I be feeling like a sucker ?

[smurfy2001] 11/1/2018 20:53

Usual drift down towards 800p?

[ccnp] 04/1/2018 11:39

And more as the suckers are drawn in.

Before the new CEO puts the whole kitchen, utility room, lounge, study, bedrooms and bathrooms in the skip, trashing the previous accounts and is then incentivised with generous Performance Options.

If the CEO can do a plea bargain with the regulator, (s)he can throw the fine in there as well rather than having it lurk like a dead rat in the rafters, ponging the place out.

Wish I had a quid for every time I've watched it happen.

[umitw] 04/1/2018 10:57

It is about time PFG Hit £10..! IMO

[wad collector] 02/1/2018 16:44

Well 2017 was a terrible one for PFG , similar to quite a few of mine unfortunately. Will this rise steadily or die?

[umitw] 29/12/2017 10:05

IG thinks next target is 1014p..! Good enough.