Last checked at 21 Jul 2010 07:00
| Embargoed until 7.00 a.m. | 21 July 2010 |
GB Group PLC
("GB", "Group" or "the Company")
Interim Management Statement
This update serves as the Interim Management Statement of the Company for the period from 1 April 2010 to 21 July 2010, incorporating financial information relating to the performance of the business for its first quarter ended 30 June 2010, in line with the UK Listing Authority's Disclosure and Transparency Rules.
Trading Update and Outlook
Highlights for the quarter ended 30 June 2010
·; Group revenues increased by 12% compared to the same period last year to £5.6 million (2009: £5.0 million).
·; Operating profit before exceptional costs and taxation improved by 92% to £259,000 (2009: £135,000).
·; Cash balances at 30 June 2010 remained strong at £5.2 million (30 June 2009: £5.3 million).
·; The market for Identity Management has continued to show signs of improvement and our first quarter results reflect this. DataSolutions continued to show particularly good progress whilst DataAuthentication showed underlying recovery compared to the previous quarter. We are pleased with our performance in the early months of the year but remain cautious principally because of the uncertainties surrounding consumer activity and cuts to public sector spending.
·; The Company believes that the challenging conditions in the economy as a whole may present opportunities for market consolidation. Accordingly, on 5 July 2010 the Company announced its intention to seek shareholder approval for a move to AIM which the Board believes will offer much greater flexibility to supplement organic growth with complementary acquisitions since corporate transactions can be executed more quickly and cost effectively compared to the Main Market. Also announced on 5 July was the appointment of David Rasche as a Non-Executive Director to the Board with effect from 1 September 2010 and the intention to amend the GB's Share Option Scheme. Exceptional costs associated with these proposals (which are subject to shareholder approval at a General Meeting of the Company on 29 July 2010) were £151,000.
·; Operating profits after the exceptional costs of the proposed move to AIM were £109,000 (2009: £135,000)
·; A final dividend of 1.20p per share, an increase of 4.3% on last year's payment of 1.15p per share, will be proposed to shareholders at the Annual General Meeting to be held on 29 July 2010.
-Ends-
For further information, please contact:
| GB Group plc | 01244 657333 |
| Richard Law, Chief Executive Dave Wilson, Finance Director |
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| Weber Shandwick Financial Nick Oborne Clare Thomas | 020 7067 0700 |
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| Website | www.gb.co.uk |
Notes to Editors
About GB Group plc
The most successful organisations recognise the value of understanding your individual identity - who you are, what you need and what you like. GB combines this concept of identity with technology to create an environment of trust so that organisations can connect, communicate and transact with consumers safely, responsibly and profitably. We call this Identity Management.
GB Group has three complementary Identity Management offerings:
·; Identity Verification - combating ID fraud, money laundering and under-age gambling
·; Identity Capture, Maintenance and Tracing - providing accurate and up-to-date customer information for your contact strategy
·; Identity based Marketing - understanding, targeting and retaining profitable customers
This enables our clients to make informed business decisions based on a thorough knowledge of consumer identity and behaviour, leading to more effective communication and interaction with the customer.
GB is listed on the London Stock Exchange (GBG). For more information, please visit GB's website: www.gb.co.uk.
GB Group - because identity matters™