1H’24 results: Four-one at half time, but the one wins
H&T 1H’24 results saw pre-tax profits rise 12.5% from 1H’23 to £9.9m. We have identified five key ongoing business messages, four of them favourable and one unfavourable. The scale of the latter, though, means we have reduced our FY’24 estimates by £3m, but still forecast double-digit profit growth. The positive messages were i) strong demand for pledge lending (gross advances up 14% to £146m, ii) retail sales up 27% with an improving margin, iii) FX delivering double-digit profit growth, and iv) good cost control. The downside was a repeat, indeed acceleration, in last year’s unusually high spring redemption levels impacting income and capital levels.