(Alliance News) - Shares in GoCo Group PLC jumped Thursday after its AutoSave business saw customer numbers grow faster than anticipated since early July, resulting in its upgrading its expectations.
Shares in GoCo were 4.9% higher at 79.38 pence in London on Thursday.
The price comparison website operator - which owns the Go Compare, WeFlip and MyVoucherCodes brands - reported its AutoSave business had over 220,000 live customers. This was a jump of 28% since early July and beats the 25% growth guidance the firm had for 2019.
The firm now expects AutoSave customers to be at least 260,000 by the end of 2019. No other changes were made to its 2019 full year guidance.
"Our strategy to address the needs of the infrequent switchers continues to build momentum," GoCo Chief Executive Officer Matthew Crummack said. "I am delighted to announce we've already exceeded our previous target for full year live customer numbers - demonstrating the market potential for our AutoSave business."
The AutoSave business - under the WeFlip and Look After My Bills brands - automatically switches subscribed customers to the cheapest provider available to them.
"We are committed to continuing to grow our AutoSave business," Crummack added. "Our ambition is to rapidly scale customer numbers and maintain a disciplined approach to the cost of customer acquisition. We believe that this will lead to a significantly higher Ebitda margin profile for GoCo Group and be transformative to group earnings by 2022."
By Ahren Lester; ahrenlester@alliancenews.com
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