Provident Financial PLC has issued its second profit warning in recent months after what the U.K. lender described as “substantial deterioration” in the performance of its home credit business. The company said Tuesday that it expects to log a loss between 80 million pounds and £120 million in the third quarter. In June, Provident warned of a £60 million loss for the period. The company said in its trading update Tuesday that it is withdrawing the interim dividend declared on July 25 and signaled that a full-year dividend is unlikely. Provident’s chief executive, Peter Crook, is stepping down with immediate effect. It said debt collections are at 57% compared with 90% in 2016, and sales are £9 million a week lower. The disappointing home credit performance comes after Provident shifted to using full-time “customer experience managers” rather than self-employed agents.
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