Amigo Holdings announces Q3 results for the period ended 31 December 2019

Amigo Holdings PLC, the leading provider of guarantor loan in the UK, announces its interim results for the nine months ended 31 December 2019.


  • Net Loan Book of £722.3m (Q3 2019: £695.7m), a 3.8% increase year-on-year
  • Growth in revenue to £218.0m, an increase of 8.5% compared to the previous period (Q3 2019: £201.0m)
  • Cost of funds improved to 4.0% (Q3 2019: 5.1%)
  • Impairment: revenue ratio within guidance at 31.5% (Q3 2019: 24.2%)
  • Operating cost: income ratio of 20.7% was within guidance (Q3 2019: 17.8%)
  • Year to date complaints cost of £26.6m with balance sheet provision of £18.7m at 31 December 2019
  • Reported profit after tax for the period of £45.9m, a decrease of 26.6%
  • Adjusted profit after tax £44.7m (Q3 2019: £72.0m)
  • Strategic Review and Formal Sale Process launched in January 2020, ongoing
  • Strategic Review has led to a revised lending policy being trialled reflecting a lower risk appetite

About Amigo
Amigo offers customers a transparent mid cost product – a guarantor backed loan at 49.9% APR with no additional charges or fees Amigo operates firmly in the mid cost credit space, as defined by the FCA as “credit above prime borrowing rates, but below the high-cost short-term credit cap of 100% APR”

Commenting on the Q3 results, Nayan Kisnadwala, CFO of Amigo, said: “Amigo has continued to attract new customers in the period as we provide a, much-needed, mid-cost guarantor loan product.

The Strategic Review has led to a change in our risk appetite on new lending, which we are currently trialling, as we steer Amigo towards sustainable, long term growth. While these lending adjustments will result in lower volumes, we expect that they will have a positive impact on impairment levels, yield per account and future complaints costs.

We have taken a deliberately prudent approach to complaints; with increased resource and an upskilled complaints team. We are committed to delivering fair outcomes to our customers.

Amigo remains in an Offer Period, under the Takeover Code, with our Strategic Review and Formal Sale Process ongoing. We will provide a further update to the market when we are able to do so.”