LENDER Provident Financial has today announced a jump in year-on-year profits.

The group revealed that adjusted profit before tax was up 14.1 per cent to £334.1million, compared with £292.9million in 2015. Adjusted basic earnings per share were up 9.2 per cent to 177.5p - from 162.6p in 2015.

Statutory profit before tax was up 25.7 per cent to £343.9million - from £273.6million in 2015 - and basic earnings per share were up 19.8 per cent to 181.8p from 151.8p in 2015.

Chief executive Peter Crook said: "I am delighted to announce adjusted earnings per share growth of 9.2 per cent in 2016 and a 12.1 per cent increase in the dividend for the year, supported by strong capital generation and a very robust funding position.

"Vanquis Bank has reported profits up 11.3 per cent. Growth is being delivered against continued tight credit standards and I’m particularly pleased with the momentum of new business being generated through a reinvigoration of the credit card proposition and its distribution by the new leadership team.

"CCD’s profits increased by 9.3 per cent, reflecting a robust profit performance from the repositioned Provident home credit business and a sharp reduction in the Satsuma start-up loss. The home credit business is actively pursuing plans to better serve its customers by migrating to a more efficient field organisation structure during 2017 supported by the deployment of further technology. Satsuma has made great strides in developing its online instalment loan product and it is now on course to deliver profitable growth from the attractive market opportunity available to it.

"Moneybarn has again performed extremely well. Since its acquisition in August 2014, the business has more than doubled in size and maintained its margins through a period of significant investment.

"The group has made a good start to 2017. Vanquis Bank and Moneybarn have continued to trade very well and the home credit business has produced a sound collections performance."

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