Full year results announcement and statement of dividends. Year ended 31 December 2015

International Personal Finance today announces the Full year results and statement of dividends. Year ended 31 December 2015.

INTERNATIONAL PERSONAL FINANCE PLC

FULL-YEAR FINANCIAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2015

Key highlights

• Robust financial performance despite regulatory challenges in Europe
  • Strong underlying growth in profit before tax and exceptional items of 10% (£12.6M) before additional investment of £2.8M in IPF Digital and negative FX impact of £17.2M
  • Group profit before tax and exceptional items of £116.1M
  • 13% increase in credit issued and 7% growth in customer numbers delivered revenue growth of 4%
  • Good credit quality across the Group - impairment as a percentage of revenue 25.7%

• Home credit – significant progress in Mexico; responding to market conditions in in Europe
  • Mexico delivered a strong performance and exceeded profit per customer target
    
  • Stable performance in most European markets with an improving trend
  • New product structure to be introduced in Poland. Decision to run-off Slovakia following previously announced new rate cap legislation leading to exceptional cost of wind down of £18.6M
• Strong growth in IPF Digital and significant market opportunity
  • 34% growth in credit issued and 46% increase in customers to 134,000
  • Good progress made expanding in Poland and Australia; first loans served in Spain.
• Strategy evolved to meet changing consumer and market environmen
• Robust funding position and further returns to shareholders
  • £133M of headroom on bank facilities
  • Equity to receivables of 40.8% in line with revised target of around 40%
  • Proposed final dividend held at 7.8 pence per share

Chief Executive Officer, Gerard Ryan, commented:
“We delivered a robust financial performance in 2015, despite a number of significant regulatory matters impacting the business. It was an excellent year for IPF Digital and Mexico and we intend to increase our investment and accelerate expansion plans in these businesses. Our European home credit businesses, with the exception of the Czech-Slovakia market, increased underlying profit growth in challenging trading conditions. New legislation in Poland and Slovakia will impact our profitability materially in 2016 and beyond, and we expect regulatory headwinds to continue. We are, nevertheless, committed to delivering sustainable returns to our shareholders and have evolved our strategy to reflect the changing market environment in order to underpin this commitment.”

For further information contact:

International Personal Finance plc

Rachel Moran - Investor Relations 
+44 (0)7760 167637 / +44 (0)113 285 6798
Gergely Mikola - Media
+36 20 339 02 25

FTI Consulting

Neil Doyle
+44 (0)20 3727 1141 / +44 (0)7771 978 220
Paul Marriott
+44 (0)20 3727 1341 / +44 (0)7710 426 131