Last checked at 20 Jul 2016 07:00
20 July 2016
NAHL Group plc
("NAHL" or "the Group")
Pre Close Trading Update
NAHL, the leading UK marketing and services business focused on the UK consumer legal market, is today providing a trading update for the first half of its current financial year, covering the six months to 30 June 2016.
The Group has continued to trade in line with market expectations and cash flow and cash conversion across the Group has continued to be strong.
National Accident Helpline, the Group's personal injury division, has performed to management forecasts. The reduction in overall case volumes, resulting from the current regulatory uncertainty, has been in line with the reductions anticipated by the Board at the time of our full year results. We still await the publication of the consultation, announced in the Chancellor's Autumn Statement in November 2015, into, inter alia, the potential transfer of PI claims of up to £5,000 to the small claims court and the removal of the right of individuals to claim general damages for minor whiplash injuries. We continue to plan for a range of outcomes, which we expect will be implemented in H2 2017, at the earliest.
Fitzalan, the Group's conveyancing division, has shown good growth during the first six months of the year, complemented by the acquisition of Searches UK in January 2016. The UK residential property transactional market has seen reduced volumes in the short period since the outcome of the EU referendum but we remain confident that it will not have a material impact on the longer term outlook for the division and its growth prospects remain strong.
Bush, the Group's critical care division acquired in October 2015, has performed strongly in the period since acquisition and is trading ahead of plan for the year to date.
NAHL will announce its results for the six months ended 30 June 2016 on 21 September 2016.
Russell Atkinson, CEO of NAHL, commented:
"Trading in the first half of the year has been in line with expectations. Our focus on building a broader, more diversified and resilient business has positioned the Group well as we continue to deliver on our strategy of being the UK's leading marketing and services provider in our chosen legal markets.
"We continue to undertake contingency planning in National Accident Helpline as we await publication of the Government's consultation relating to its proposed PI reforms but believe that, as the industry leader with a proven track record of adapting to regulatory change, NAH should be well positioned to adjust to any eventual changes.
"Fitzalan is making an increasing contribution to the wider Company and we are confident about its long-term growth potential in what remains a fragmented conveyancing market. We are particularly pleased with the performance of Bush, which has demonstrated strong growth in the first half of the year."
For further information please call:
NAHL Group plc Russell Atkinson (CEO) Steve Dolton (CFO)
| via FTI Consulting Tel: +44 (0) 20 3727 1000 |
Investec Bank plc (NOMAD & Broker) Garry Levin David Flin James Ireland David Anderson William Godfrey
| Tel: +44 (0) 20 7597 5970 |
FTI Consulting (Financial PR) Oliver Winters Alex Beagley James Styles | Tel: +44 (0) 20 3727 1000 |
Notes to Editors
NAHL Group
NAHL Group plc is a leading UK consumer marketing business focused on the UK legal services market. The Group comprises three companies: National Accident Helpline (NAH), Fitzalan Partners (Fitzalan) and Bush & Company Rehabilitation (Bush). NAH provides outsourced marketing services in the personal injury market, Fitzalan, which includes Searches UK a leading conveyancing search provider, provides marketing services in the property market and Bush provides a range of specialist services in the catastrophic injury market.
More information is available at www.nahlgroupplc.co.uk and www.national-accident-helpline.co.uk.