(Alliance News) - Shares rose in Morses Club PLC on Monday, as it reported an improved trading performance for the month of July, as the group gets closer to pre-Covid-19 levels.
Shares in the non-standard financial services provider were 15% higher at 58.60 pence on Monday morning in London.
For July, Morses Club's Home Collected Credit division reported collections for July increased to 98% of normal historic expectations, compared to 91% at the end of June. Looking ahead, the group expects to reach pre-Covid levels by the end of August.
Meanwhile, sales were at 81% of the levels for the same period in 2019, reflecting an improving trend.
As for Morses Club's digital division, Shelby Finance, collections have risen above 80% to terms, which reflects an improvement on the level prior to Covid-19, as the level of demand for the e-banking current account product remains stable.
Looking ahead, Morses said it has continued to implement structural changes to the business, with employees and agents working remotely until the end of the year. In addition, further restructuring of the property portfolio is progressing, with agent vacancy rates at the lowest level on record.
Finally, the audit process for Morses Club's results for the year ended February is ongoing.
"We are encouraged by both the improvements in lending and the quality of the lending performance that we have delivered during July. We continue to make progress despite the impact of Covid-19, reflecting the success of our prudent approach to managing the business whilst strengthening and diversifying our product offering and putting our customers at the heart of the business," said Chief Executive Officer Paul Smith.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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