25th Apr 2016 07:45
LONDON (Alliance News) - Non-life insurance investor Randall & Quilter Investments Holdings Ltd on Monday said it swung to pretax profit in 2015 amid a good performance in its UK arm.
Randall & Quilter said its pretax profit for the year to the end of December was GBP2.8 million, swung from a GBP1.6 million loss in 2014. The group had made a GBP4.5 million loss in the first half, but results improved significantly in the second half.
The profit was driven by the group's run-off portfolios performing well in the second half, delivering a net reserve release of GBP9.5 million, compared to GBP2.4 million a year earlier.
"I am pleased to report that the group delivered a significantly stronger performance during the second half of the year with full-year profit in line with board expectations at the date of the interim results. Completion of further legacy transactions during the period was the primary driver and the business overall performed in line with expectations," said Chairman and Chief Executive Ken Randall.
The company said its UK insurance services business continued to perform well in the year, particularly its broker run-off and premium credit control services.
The group also delivered an investment return of 1.1% in the year on its 'free' assets, compared to 2.5% a year earlier in "very challenging markets".
Randall & Quilter said its total proposed distribution to shareholders will be flat at 8.4 pence per share, with a final payout of 5.0p.
Randall & Quilter shares were up 14% to 104.97 pence, one of the best performers in the AIM All-Share.
By Sam Unsted; [email protected]; @SamUAtAlliance
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