Last checked at 23 Jan 2020 07:00
23 January 2020
JTC PLC
(the "Company" and together with its subsidiaries "JTC" or the "Group")
Trading Update
Good performance continued in H2; confident in outlook for 2020
JTC, a global provider of fund, corporate and private client services, today issues the following trading update in advance of its full year results for the year ended 31 December 2019.
The Company continued to perform well during the second half of the year. Full year revenue was within the range of analyst expectations1, with organic growth within the 8-10% company guidance. Adjusted EBITDA was also in line with consensus expectations with a further year-on-year improvement in EBITDA margin.
Performance in the Private Client Services (PCS) Division was particularly strong, consistent with JTC's status as the 2019 STEP Large Trust Company of the Year. New business performance showed good momentum with the Group winning new business with an annualised value of £14.9m in the year (£9.7m at FY 2018). Exequtive Partners, the Luxembourg-based corporate services provider acquired in March 2019, has integrated well, broadening the Group's capabilities in a key Institutional Client Services (ICS) Division jurisdiction.
The Company continues to see a number of interesting M&A opportunities that fit with JTC's disciplined approach to inorganic growth and balance sheet management. In light of these, the Company has increased its banking facilities by an additional £50m, taking its total credit facility to £150m.
The Board expects that full year results will be in line with management expectations and remains confident in the outlook going forward.
Nigel Le Quesne, CEO of JTC PLC, said:
"2019 was another great year for JTC as we built on the strong revenue growth seen in the first half of the year. Both divisions performed well, with organic growth and EBITDA margin in line with guidance. The Group has continued to focus on client service excellence, investment in winning new business and selective M&A as the key strategic drivers for long-term growth. We have also increased our focus on how we can use technology to improve the business and are excited about the potential we see.
"Our outlook is positive and we see a global market that demonstrates strong fundamentals for our sector and ongoing opportunities for organic and inorganic growth in key geographies and service lines."
The Company will announce its full year results for the year ended 31 December 2019 on Wednesday 1 April 2020. An analyst briefing will be given by Nigel Le Quesne, Chief Executive Officer, and Martin Fotheringham, Chief Financial Officer, at 09:30 GMT at the offices of Numis Securities, 10 Paternoster Square, London EC4M 7LT.
An audio-cast of the presentation will be made available on the JTC website following the presentation. Those analysts wishing to attend are asked to contact Camarco on +44 (0)20 3757 4999 or jtc@camarco.co.uk
[1] Consensus analyst forecasts are available at https://www.jtcgroup.com/investor-relations/analyst-consensus/
Enquiries:
JTC PLC +44 (0) 1534 700 000
Nigel Le Quesne, Chief Executive Officer
Martin Fotheringham, Chief Financial Officer
David Vieira, Chief Communications Officer
Camarco +44 (0)20 3757 4985
Geoffrey Pelham-Lane
Kimberley Taylor
Monique Perks
About JTC
JTC is an award-winning provider of fund, corporate and private client services. Founded in 1987, the company employs c.750 people across its global office network and is trusted to administer assets of c.US$110 billion.
JTC is committed to its shared ownership culture and philosophy, with management and staff holding over 20% of the equity in the firm, clearly aligning the interests of clients, employees and other stakeholders.
www.jtcgroup.com