Morses Club PLC - Nottingham, England-based home collected credit provider and online lender - Issues profit warning for its financial year ending February 26, with higher costs set to reduce adjusted pretax profit by between 20% to 30% below market consensus of GBP7.5 million. Morses Club explains this was due to its Home Collected Credit division being recently hit by a "rapid" increase in claim volumes submitted via claims management companies.
Additionally, Paul Smith has departed as chief executive officer, effective immediately, replaced by Gary Marshall, who was chief operating officer. Marshall's appointment is subject to approval by UK regulator the Financial Conduct Authority. Morses Club says the role of COO will not be directly replaced.
On his way out, Smith sold 464,119 shares at 42.65 pence each, worth GBP197,947, on Thursday last week. Morses Club said it was informed of the sale on Friday "having received no prior notification of the former CEO's intention to deal".
Results for its financial year will be announced in May.
Current stock price: 15.02 pence, down 64% on Monday midday
12-month change: down 74%
By Elizabeth Winter; elizabethwinter@alliancenews.com
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