0 £0.00
This item was added to your basket
Credit Strategy homepage
LinkedIn
Twitter

Dear visitor,
You are viewing 1 of your 1 free articles


We’ve invested in our content to provide more news, analysis, features, interviews and opinions across a wide range of Credit and Financial Services. Register now to access more of the trustworthy, insightful information that’s on offer.

Register now or Login

Amigo releases first full-year results as listed company

Guarantor lender Amigo Loans has reported a jump in its profits in first full-year results as listed group.

Share on LinkedInShare on TwittereCard

Alongside the figures, the group’s chairman, Stephan Wilcke, also vowed to fight against “urban myths” around the lender’s guarantor model.

 

Amigo lends to customers with poor credit scores or thin credit files, and allow their friends or family to act as guarantors for their loans. Its results show it has 224,000 customers, up from 182,000 a year ago.

 

The Financial Conduct Authority (FCA) has been scrutinising the guarantor loans market ahead of a potential crackdown on the sector.

 

Amigo’s results for the year to March 31, 2019, show that it has a loan book of £707.6m, a 17.4 percent increase year on year, although it has restated its opening loan book value in accordance with the IFRS 9 accounting standard.

 

It saw its revenue rise 28.4 percent to £270.7m, from £210.8m.

 

Its impairment charge, however, was 23.7 percent of revenue at March 31, 2019.

 

Chairman Wilcke said: “Arguably, Amigo being a publicly listed company has raised the profile of the guarantor loan product and fuelled some urban myths about us and our customers. In future we will work harder to dispel those myths and take the time to ensure our evolving stakeholder universe fully understands the service we offer.”

 

Chief executive Glen Crawford, who will step down in the summer, added: “We pride ourselves on doing the right thing by our customers (as for every borrower, there will also be a guarantor) in a compliant manner and ensuring that the right customer outcomes are achieved based on a rigorous affordability and underwriting process, which is then combined with an ethical collections methodology that includes a detailed understanding of individual customer circumstances.”

Share on LinkedInShare on TwittereCard
Add New Comment
You must be logged in to comment. Login or Register to access enhanced features of the website.

GET THE LATEST INDUSTRY NEWS STRAIGHT TO YOUR INBOX

Upcoming events


Credit Summit


Credit Awards


FSE Week

Credit Strategy
LinkedIn page

Member of

Did you find our website useful?

Thank you for your input

Thank you for your feedback

creditstrategy.co.uk – an online news and information service for the UK’s commercial and consumer credit industry. creditstrategy.co.uk is published by Shard Financial Media Limited, registered in England & Wales as 5481132, Axe & Bottle Court, 70 Newcomen St, London, SE1 1YT. All rights reserved. Credit Strategy is committed to diversity in the workplace. @ Copyright Shard Media Group