WTG.L Regulatory News (WTG)

Embargoed for release until 7.00am 8 April 2013

Quindell Portfolio Plc

("Quindell", the "Company" or the "Group")

Q1 Trading Update

Quindell Portfolio Plc (AIM: QPP.L), the provider of sector leading expertise in software, consultancy and technology enabled outsourcing in its key markets, being Insurance, Telecommunications and their related sectors is pleased to announce its first quarter ended 31 March 2013 ("Q1") trading update.

Highlights

·; Q1 delivers over £25 million EBITDA, up 350% on first quarter 2012

·; Margins ahead of guidance in Q1

·; Q1 cash conversion, profit and EPS are on track to meet full year expectations

·; Majority of outsourcing volume in multi-year commitments

·; Pipeline conversion remains a priority for the first half of 2013

·; RAC contracts finalised. Post LASPO, three further major accounts also finalising contracts

·; More than 40 independent outsourcing and referral partners providing significant volume post LASPO

·; Integration ahead of plan with new management structure to be announced shortly

The Group has enjoyed a strong start to the new financial year with Adjusted EBITDA for the first quarter ended 31 March 2013, in excess of £25 million. This represents an increase of circa 350% on first quarter 2012 of £5.5 million and an increase of circa 28% on the last quarter of 2012 which was circa £18 million. Earnings per share, profits after tax and operating cash flow for the quarter are as a result, on track to meet full year expectations and in line with plan as we continue the significant growth in our outsourcing business.

EBITDA margins for the first quarter are ahead of our long term guidance of 20 to 25%. As from 1 April 2013, the start of our second quarter, LASPO (Legal Aid, Sentencing and Punishment of Offenders) reforms begin to come into effect, and overall margin percentages will revert towards our long term guidance levels. The Board continues to believe that Quindell is uniquely placed to operate post these regulatory changes, and the Group will continue to be able to operate a profitable business model as Quindell grows during this period of significant industry consolidation.

As previously stated, the Group has continued to be successful during 2013 in converting pilots to full relationships, achieving a 100% success rate, with all the major outsourcing and partnership pilots that the Group announced during the latter stages of 2012 as being in progress now successfully converted into contract or ongoing relationships. The Group has continued to focus on contracting new business on terms which minimise the Group's working capital requirements in this period of growth, and the majority of the group's £80 million funding lines still remain available to support further organic growth. The majority of the Group's outsourcing volumes are now the subject of long term commitments of up to five years, providing confidence on activity levels and enabling us to continue to leverage this position across the Group and with our supply chain partners.

Conversion of our pipeline has been a priority for our executive team during the first quarter of the current financial year, and will remain so for the rest of these first six months. It was particularly pleasing therefore to be able to announce last week that our five year contracts with the RAC had been finalised. These agreements, for a combination of Quindell's market leading software, consultancy and technology enabled outsourcing services, are significant from day one and have the potential to be the largest that the Group has entered into to date as revenues grow during 2013 and beyond. We are also currently in final negotiation stages on contracts with three further major accounts, and are working to finalise these contracts now that LASPO terms have been confirmed.

Together, the top twenty UK auto market participants represent over 90% of the UK auto insurance market. It is encouraging therefore to now be in a position whereby the Group has agreements in place with a significant proportion of these. Our outsourcing and referral partners include telecoms companies, insurance companies, brokers, body shops, vehicle manufacturers, and fleet companies as well as other intermediaries. Over 40 independent outsourcing and referral partners have now agreed to and are providing significant outsourcing volume to Quindell post LASPO. Many of these are top-tier within their sector, ensuring that as a group, we are not overly dependent on any one income source.

The Board is also pleased to confirm that the integration of our business, including the legal services operations, is ahead of plan. The Group is in the process of implementing a new management team structure to provide additional focus at group and divisional levels. To date, the majority of the acquisitions made by the Group are trading ahead of the planned level of profitability at the time of acquisition and the Board expects to see further integration benefits during the course of this year.

Rob Terry, Chairman and Group Chief Executive Officer of Quindell said: "I would like to take this opportunity to thank all of our staff for their significant effort during this period of substantial growth that has made this the most successful quarter in our history. Operationally, the integration of our business, including the legal services operations, is ahead of plan. Our new management team structure, to be announced shortly, confirms our new integrated and strengthened group business development and back office operations as well as our front office divisional structures that will ensure Quindell is well prepared for completion of its initial integration plans and that the team structure has been optimised to continue to deliver growth whilst still focusing on service excellence for existing and newly announced customers."

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Notes to Editors:

About Quindell Portfolio Plc

Quindell Portfolio Plc is a provider of sector leading expertise in Software, Consulting and Technology Enabled Outsourcing in its key markets being Insurance, Telecommunications and their Related Sectors. Quindell joined the market through Mission Capital Plc, now renamed Quindell Portfolio Plc. The Company was readmitted to the market on 17 May 2011 following the acquisition of Quindell Limited prior to the immediate acquisition of Quindell's technology and outsourcing partners. In December 2011, Mobile Doctors Group Plc was acquired increasing 2012 run-rate revenue to over £50 million. On the 1 April 2012, Ai Claims Solutions Plc became a subsidiary of Quindell, increasing run rate revenue to over £150 million. Post gaining approval by the Solicitors Regulation Authority and the acquisition of our legal businesses in December 2012, including the law firm Silverbeck Rymer, Quindell finished 2012 with run rate revenue of more than £300 million.

Our Industry Sectors

In today's digital world the line between traditional industry sectors continues to blur, however the focus on tight service management is common to them all. We believe that excellent customer service, tight cost control and integrated supply chain management is not the prerogative of any single industry sector and with our solutions in multiple industry sectors savings of over 20% against industry norms are being delivered to the bottom line.

Our Solutions

The pressures on an organisation can come simultaneously from multiple directions including the need to add customers, increase wallet share, reduce costs and improve customer satisfaction. At Quindell we have the People, the Processes and the Supply Chains, underpinned by our sophisticated Champion and Challenger Business Process Management Technology Platform and Industry Solutions to help our customers tackle these efficiently and effectively.

With a clear understanding that having the best products and services on offer is not always enough and that getting your customers to use or adopt them is key, effective conversion lies at the core of our unique Champion and Challenger tools and techniques. Using these solutions Quindell has helped its customers achieve sales and service conversion rates ranging from 75% to 90%, way above industry norms. But life does not stand still, and complacency can kill any business, so the embedded Champion and Challenger continual improvement focus of our Learning Solutions is at the heart of all we offer. Using our industry insight and expertise, Quindell takes the holistic view of our client's challenges.

For example, when considering the Insurance industry today where 50% of the cost of an auto claim is associated with Personal Injury, including legal services, medical reporting and rehabilitation, it is clear that an organisation will not be able to achieve the levels of savings and customer satisfaction desired without addressing the injury to the driver as well as the repair of the vehicle. This is why at Quindell we have designed our insurance solutions and supply chains to address the full end to end cycle, with the ability and expertise to treat an injured party as well as repairing their vehicle. This makes Quindell a truly unique and ethically based proposition for the insurance industry today.

Our Customers

Quindell Portfolio's companies have worked with over 2000 brands from Small to Medium Enterprises and Blue-chip organisations around the globe. Today we count a number of the world's top Insurance and Telecommunications blue chip companies within our client base, as well as hundreds of customer centric organisations working in both the distribution and supply of their services.

Our award winning Business Transformational, Software, Consulting and Outsourcing Solutions are recognised as delivering significant savings and additional sales to our customers every year.

For further information, please visit www.quindell.com