AFH Financial Group Plc AGM Statement (4026Y)

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RNS Number : 4026Y

AFH Financial Group Plc

03 March 2017

3 March 2017

AFH Financial Group PLC

("AFH" or the "Group" or the "Company")

AGM Statement

Strong Recurring Revenues with Gross Margins maintained above 55%

Five acquisitions announced since the year end and strong pipeline of prospective acquisitions

Robust Balance Sheet

At the Company's Annual General Meeting ("AGM"), to be held at 11:00am today at AFH House, Buntsford Drive, Stoke Heath, Bromsgrove B60 4JE, John Wheatley, Chairman of AFH, will update shareholders with the following statement:

"As reported in the audited results released on 30 January 2017, I am pleased to confirm that the Company's core business continues to perform in line expectations and that recurring revenue continues to remain strong as a result of the inflow of new funds during the period. As in 2016, gross margins remain above the 55% level.

During the first four months of the current financial year the Company announced five acquisitions, paying a combined GBP2.0m in initial cash consideration. Whilst these acquisitions are not expected to make a material contribution to our first half results, the benefits arising from these businesses will be apparent in our full year results and are expected to benefit earnings in the current year.

During the first quarter of the current financial year, the Company made deferred payments, based on trading performance, of GBP1.07m in respect of acquisitions completed in previous periods and anticipates a further GBP1.3m to be paid during the second quarter.

As set out in my previous statement, the Company will pay an interim dividend of 3.0p on 4 May 2017 to shareholders on the register of members at the close of business on 18 April 2017.

I am pleased to report that both the Company's balance sheet, and pipeline of prospective acquisitions, remains strong and further selective acquisitions are anticipated during the current financial year. As at 1 March the Company had cash balances of GBP4.1m. The Directors remain confident that the Group is well positioned to take advantage of market opportunities as they arise."

Enquiries:

 
                                          01527 577 
 AFH Financial Group PLC                   775 
 Alan Hudson, Chief Executive Officer 
 Paul Wright, Chief Financial Officer 
 www.afhfinancialgroup.com 
 
 Liberum                                  020 3100 2000 
 (Nominated Adviser and Broker) 
 John Fishley/Richard Bootle 
 
 Camarco                                  020 3757 4985 
 Geoffrey Pelham-Lane/Jennifer Renwick 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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March 03, 2017 02:00 ET (07:00 GMT)