S & U

Website: S & U
Index: FTSE Small Cap
EPIC: SUS
Supersector: Financial Services
Sector: Financial Services
Subsector: Consumer Finance
Market Cap: £233.9M
Payout Frequency: Semi-Annual

Next S & U Dividend

S & U next goes ex-dividend on 02/07/2026. This will be the Final dividend for 2026.

The dividend per share amount is 45.0000p (GBP) and the payment date is 24/07/2026.

S & U Dividend Analysis and Summary

Declared Dividend Details

Final dividend: 45p per share (FY25: 40p)
Total FY26 dividend: 115p per share (70p interim + 45p final), up +15% YoY (FY25: 100p)
Ex-dividend date: 02/07/2026 (derived from record date)
Record date: 03/07/2026
Payment date: 24/07/2026 (subject to AGM approval on 24/06/2026)
Earnings per share: 195.2p; dividend cover ˜ 1.70x (payout ratio ˜ 59%)
Stated policy/guide: the Group has maintained a dividend cover ratio between 1.3x–2.3x

Context and Coverage

Profit before tax improved to £31.8m (FY25: £24.0m); impairments fell sharply (£13.0m vs £35.6m), supporting higher earnings and dividend uplift.
Net receivables grew to £496.8m with stronger collections and quality; however, operating cash flow was –£21.5m (growth-driven working capital outflow).
Net borrowings increased to £241.8m; gearing rose to a high 97.1% (FY25: 80.8%). Additional £50m facilities secured; refinancing via securitised facilities targeted in Q2 to reduce funding costs and expand capacity.
Dividend appears well covered by earnings and aligned with management’s stated cover range, but balance sheet leverage and funding dynamics are important considerations.

Sustainability and Growth Outlook

Coverage: ~1.70x provides a reasonable buffer; management explicitly targets a cover band of 1.3x–2.3x.
Earnings drivers: Improved credit outcomes and lower impairments at Advantage; record PBT at Aspen. These support current dividend levels if sustained.
Cash/funding: Negative operating cash flow reflects loan book expansion rather than earnings stress; sustainability hinges on continued access to cost-effective funding (planned securitisation) and disciplined growth.
Trajectory: DPS up +15% YoY. Further growth feasible if credit quality and profitability hold and funding costs are contained; otherwise, high gearing could temper increases.

Structural or Policy Factors to Watch

Refinancing: Group engaged in a securitised funding exercise expected to complete in Q2; outcome will influence funding costs, growth capacity, and dividend headroom.
Regulatory: FCA’s final rules on motor finance commission redress (30/03/2026). S&U has recognised a £1.79m provision for “high commission” cases; FOS referral costs are uncertain.
Operational one-offs: A £53m debt sale of aged/written-off accounts aided clean-up and profit but is non-recurring.
Governance/AGM: Final dividend subject to AGM approval on 24/06/2026.

Risks and Flags Relevant to Dividend Stability

Leverage: Gearing at ~97% reduces financial flexibility; increases sensitivity to funding cost rises.
Funding and rates: Dividend capacity depends on successful securitisation and stable credit markets; rising interest rates would pressure margins.
Regulatory risk: Motor finance redress exposure beyond current provision (including potential FOS costs) remains a tail risk.
Macro exposure: Management cites Middle East conflict-related uncertainty impacting energy costs, interest rates, and property demand—could affect Aspen volumes and Advantage arrears.
Cash conversion: Growth-led working capital outflows may persist; sustained negative operating cash flow would raise the bar for maintaining/dividend growth without additional leverage.

S & U Annual Dividend Yield - 4.18%

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
19/02/2026	06/03/2026	2nd Interim	35.0000p	GBX
02/07/2026	24/07/2026	Final	45.0000p	GBX

Total (Annual Dividends Per Share): 80.00p

Dividend Yield = Annual Dividends Per Share (80.00p) ÷ Share Price (1915p) = 4.18%

Ex Dividend Date	Payment Date	Type	Amount	Currency
02/07/2026	24/07/2026	Final	45.0000p	GBX
19/02/2026	06/03/2026	2nd Interim	35.0000p	GBX
30/10/2025	21/11/2025	1st Interim	35.00p	GBX
03/07/2025	25/07/2025	Final	40.00p	GBX
16/02/2025	07/03/2025	2nd Interim	30.00p	GBX
31/10/2024	22/11/2024	1st Interim	30.00p	GBX
20/06/2024	12/07/2024	Final	50.00p	GBX
15/02/2024	08/03/2024	2nd Interim	35.00p	GBX
02/11/2023	24/11/2023	1st Interim	35.00p	GBX
15/06/2023	07/07/2023	Final	60.0p	GBX
16/02/2023	10/03/2023	2nd Interim	38.00p	GBX
03/11/2022	25/11/2022	1st Interim	35.00p	GBX
16/06/2022	08/07/2022	Final	57.00p	GBX
17/02/2022	11/03/2022	2nd Interim	36.00p	GBX
28/10/2021	19/11/2021	1st Interim	33.00p	GBX
17/06/2021	09/07/2021	Final	43.00p	GBX
18/02/2021	12/03/2021	2nd Interim	25.00p	GBX
29/10/2020	20/11/2020	1st Interim	22.00p	GBX
18/06/2020	10/07/2020	Final	50.0p	GBX
20/02/2020	13/03/2020	2nd Interim	36.00p	GBX
24/10/2019	15/11/2019	1st Interim	34.00p	GBX
20/06/2019	12/07/2019	Final	51.00p	GBX
21/02/2019	15/03/2019	2nd Interim	35.00p	GBX
25/10/2018	16/11/2018	1st Interim	32.00p	GBX
25/10/2018	16/11/2018	Interim	32.00p	GBX
14/06/2018	06/07/2018	Final	45.00p	GBX
22/02/2018	16/03/2018	2nd Interim	32.00p	GBX
19/10/2017	10/11/2017	1st Interim	28.00p	GBX
15/06/2017	07/07/2017	Final	39.00p	GBX
23/02/2017	17/03/2017	2nd Interim	28.00p	GBX
20/10/2016	11/11/2016	1st Interim	24.00p	GBX
16/06/2016	08/07/2016	Final	33.00p	GBX
25/02/2016	18/03/2016	2nd Interim	23.00p	GBX
22/10/2015	12/11/2015	Special	125.00p	GBX
22/10/2015	12/11/2015	1st Interim	20.0p	GBX
18/06/2015	10/07/2015	Final	30.00p	GBX
12/03/2015	10/04/2015	2nd Interim	19.00p	GBX
16/10/2014	14/11/2014	1st Interim	17.00p	GBX
18/06/2014	11/07/2014	Final	24.00p	GBX
19/03/2014	11/04/2014	2nd Interim	16.00p	GBX
16/10/2013	15/11/2013	1st Interim	14.00p	GBX

Year	Interim	Final	Special	Currency	Total	Change
2024		50.000		GBX	115.000	-13.530
2023		60.000		GBX	133.000	3.900
2022		57.000		GBX	128.000	26.730
2021		43.000		GBX	101.000	-6.480
2020		50.000		GBX	108.000	-10.000
2019		51.000		GBX	120.000	-14.890
2018	32.000	45.000		GBX	141.000	48.420
2017		39.000		GBX	95.000	18.750
2016		33.000		GBX	80.000	-58.760
2015		30.000	125.000	GBX	194.000	240.350
2014		24.000		GBX	57.000	307.140
2013				GBX	14.000

S & U Dividend Calculator

Number of Shares:

Payment	Paid	Amount
Next	–	–
Previous	–	–

S & U Dividend Growth

Dividend Growth (1Y)	15%
Dividend CAGR (5Y)	5.02%
Years of Growth	–
Payout Ratio	53.85%
Buyback Yield	–
Shareholder Yield	5.97%

P/E Ratio (TTM)	9.81
Forward P/E	8.79
P/FCF	–
Earnings Yield	10.19%
FCF Yield	-9.62%
ROE	9.74%
ROCE	–
Profit Margin	29.62%
Operating Margin	39.74%
Gross Margin	70.58%