ULS Technology PLC Trading Update and Notice of Results (3128D)
26 April 2017 - 4:00PM
UK Regulatory
TIDMULS
RNS Number : 3128D
ULS Technology PLC
26 April 2017
ULS Technology plc
(The "Group")
Trading Update and Notice of Results
ULS Technology plc (AIM:ULS), the provider of online B2B
platforms for the UK conveyancing and financial intermediary
markets, provides a trading update for the 12 months to 31 March
2017.
Financial Highlights
The Group expects to announce financial results for the 12-month
period ahead of market expectations, with revenue increased by
approximately 8 per cent to GBP22.3 million (2016: GBP20.6 million)
and adjusted profit before tax* increased by approximately 15 per
cent to GBP4.4 million (2015: GBP3.8 million).
The Group has delivered these results in a challenging domestic
property market through its continuing focus on helping existing
partners to grow their businesses and through the successful
recruitment of new partners.
The Group continues to generate strong cash flow from operating
activities and the Directors intend, subject to shareholder
approval, to continue its policy of paying a progressive dividend
this financial year.
*before exceptional items and amortisation of intangibles
arising on consolidation
Operational Highlights
During the period, the Group continued to strengthen its
customer base and relationships with new and existing mortgage
lenders, in particular the new challenger brands, with its focus
firmly on providing a better overall moving and remortgaging
experience for individuals.
The acquisition of Conveyancing Alliance Holdings Limited
("CAL") at the end of December 2016 provided an important addition
to the Group's portfolio and market reach. The acquisition allows
ULS to access conveyancing from the Estate Agency sector, an area
which management believes offers good growth potential. The Board
is pleased that trading at CAL has been slightly ahead of
management expectations over the last three months and synergies
are being achieved as planned.
Outlook
The momentum achieved during the 12-month period to 31 March
2017 is expected to continue in the current financial year with the
Group's order book ahead of the same point in 2016. Additionally,
the Group expects new agreements with mortgage lenders and also
within the Estate Agency sector to deliver further growth as it
expands into new markets.
The Group will continue its strategy of expanding its
conveyancing market share, in order to become the largest handler
of conveyancing services in the UK.
Notice of Results
The Group expects to release its full year results for the year
ending 31st March 2017 on 27 June 2017.
Ben Thompson, Chief Executive of ULS Technology plc,
commented:
"It has been a good year for the Group, with revenue and profit
momentum continuing.
"This has been especially pleasing given the various industry
challenges that the 12-month period presented, most notably through
the trough in market activity that followed the Buy to Let tax
changes and a quieter period over the summer of 2016 following the
EU Referendum result. Excluding remortgages, the volume of housing
transactions in the UK market fell by 13% year-on-year while ours
increased by 4% organically, testament to the compelling
proposition that we provide to our partners and their
customers.
"Our targeting of new conveyancing growth from mortgage lenders
is bearing fruit with a number of successes in recent tender
processes. I am also delighted that CAL agreed to become part of
the Group, giving us the means to expand into the Estate Agency
market, helping more customers to move home as seamlessly as
possible.
"We look forward to the coming financial year and expect both
continued organic growth and to seek further attractive
complementary acquisitions."
Enquiries:
ULS Technology plc Tel: 01844 262392
Peter Opperman, Chairman
Ben Thompson, CEO
John Williams, Finance Director
Numis Securities Limited (Nomad & Tel: 0207 260 1000
Broker)
Stuart Skinner / Paul Gillam, Corporate
Advisory
Michael Burke, Corporate Broking
Walbrook PR Limited ulsgroup@walbrookpr.com or Tel: 020 7933
8780
Paul Cornelius
Helen Cresswell
Paul Whittington
Nick Rome
Certain information contained in this announcement would have
constituted inside information (as defined by Article 7 of
Regulation (EU) No 596/2014) prior to its release as part of this
announcement.
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCLLFVESEIEFID
(END) Dow Jones Newswires
April 26, 2017 02:00 ET (06:00 GMT)
Smoove (LSE:SMV)
Historical Stock Chart
From Apr 2024 to May 2024
Smoove (LSE:SMV)
Historical Stock Chart
From May 2023 to May 2024