Pro Global Insurance Solutions PLC Final Results (0959B)

TIDMPROG

RNS Number : 0959B

Pro Global Insurance Solutions PLC

31 March 2017

Pro Global Insurance Solutions plc

31 March 2017

Pro Global Insurance Solutions plc

2016 Audited Full Year Results

Pro Global Insurance Solutions plc ("Company"), the specialist outsourcing and consulting service provider to the global insurance and reinsurance industry, has recorded a 12% increase in revenues of its services business for 2016.

The company announced its 2016 results today, and highlights include:

   --      Revenue growth was GBP29.7m, up 12% from GBP26.6m; 
   --      Gross operating profit was GBP12,467k up 2% from 2015 (GBP12,164k); 
   --      Gross margin fell to 42% in 2016 (2014 46%) due to continued investment in new business; 
   --      Operational result was GBP1,479k (2015: GBP676); 
   --      Total borrowings of the group at 31 December 2016 were GBP9,727k (2015: GBP10,769k). 

Artur Niemczewski, Chief Executive, said, "We are pleased with the progress made by the Pro team in 2016. It was a year of investment in growth, resulting in increased revenues and managed costs."

On 22 December 2016, the Company announced the sale of its outsourcing and consulting businesses ("Pro Services"). The sale of Pro Services will relinquish the Company from the risk associated with the future of these subsidiaries and will put the Company in position to repay the Natixis debt at or before its normal maturity date.

The sale will provide Pro Services with long-term financial stability and release the business from all long-term debt currently existing at Company level.

Artur Niemczewski added: "During 2017 the team is going to continue its "Client First" strategy, whilst continuing to work on its long-term strategy under new ownership."

Following the sale, the Company's only trading activity will be through its 30% investment in its associate Asta Capital Ltd. ("Asta") which owns a number of companies including Asta Managing Agency Limited, the leading third party managing agent at Lloyd's. Going forward, the Company will focus on supporting Asta's growth. Asta has a very successful core business which continues to generate a healthy profit and cash flow. Asta contributed GBP2.2 million to the Company's profits for the full-year ending 31 December 2016 and GBP1.7 million for the full year ending 31 December 2015.

Tim Carroll, Chairman of the Company, said. "We wish the team of Pro Services every success in the future and are grateful for the tremendous progress they have made over the last three years to make Pro Services a great stand-alone business. Asta's performance has been good since our investment in 2011, and we look forward to focussing on this business following the sale of Pro Services."

The Company's Reports and Accounts for 2016 will be available on the Company's website (www.pro-global.com).

Enquiries:

 
 Artur Niemczewski, Chief 
  Executive 
  Pro Global Insurance Solutions 
  plc                               020 7068 8026 
---------------------------------  ---------------------------- 
 James Britton or Guy Wiehahn 
  Peel Hunt LLP (nominated 
  adviser and broker)               020 7418 8900 
---------------------------------  ---------------------------- 
 Press enquiries:                   07843 076 533 
  Mairi Mallon, Chief Executive,     [e-mail] 
  rein4ce 
---------------------------------  ---------------------------- 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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March 31, 2017 02:01 ET (06:01 GMT)