S & U Company Research (SUS)

S&U has issued a Q226 trading update confirming the growth trajectory of the business and providing support for H2 profit growth. The recent Supreme Court (SC) decision has given legal clarity to the motor finance business, Advantage, which is now in a strong recovery phase. Aspen, the property lender, continues to grow robustly, generating advances over the quarter that were up 15%. We view S&U’s Q2 exit trajectory positively and believe the company will meet our FY26 forecasts. The SC’s judgement should put to rest any existential worries about Advantage, allowing trend growth to resume and further supporting numbers.