UK's Paragon Banking rises on higher FY pretax profit

Paragon Banking

03/12/2024 09:53

** Shares of UK's Paragon Banking Group  PAGPA.L  up 2.34%
at 765p
    ** Co reports a 27% rise in FY pretax profit of 253.8 mln
pounds ($321.92 mln)
    ** Brokerage Jefferies says "NIM (net interest margins) is
falling gently, as we expected, but the balance sheet is growing
faster with a strong pipeline"
    ** Co says it hasn't set aside any provisions for potential
redress from motor finance claims
    ** "The motor finance industry is waiting to hear about the
referral of the case up to the Supreme Court ... it creates
uncertainty as a consequence. But for us, this is a very
negligible part of our business," CEO Nigel Terrington told
Reuters
    ** Eight of 11 brokerages rate the stock "buy" or higher,
and three "hold"; their median PT is 850p - LSEG
    ** Up to Monday's close, stock had risen ~11% YTD

($1 = 0.7884 pounds)

 (Reporting by Joel Jose in Bengaluru)
 ((joeljose@thomsonreuters.com))