17th Dec 2015 08:30
LONDON (Alliance News) - Redde PLC shares experienced a lift on Thursday after the company said its trading profits in the second half of 2015 will be higher than previously thought and "materially" ahead of last year, and vowed its interim dividend would be up from last year.
Redde shares were up 5.3% to 179.0 pence per share on Thursday morning.
The legal services, insurance and management provider said the strong start experienced throughout 2015 continued into December, pushing up its trading volumes. Incident and claims firm FMG Group, which Redde acquired earlier this year, has also performed well and built up a good pipeline of opportunities.
Redde shareholders will have to wait until the end of February to find out exactly how well the company has performed in the second half, but the company has provided an early Christmas present by committing to pay an interim dividend for the second half of "no less" than 4.40 pence, which would be up from 4.0 pence a year earlier.
"The acquisition of FMG, which completed in October 2015, has enabled us to broaden our reach into new and related markets and diversify our earnings. The outlook for the remainder of the financial year is positive and we continue to examine opportunities to augment our sustainable growth plan," said Chief Executive Martin Ward.
By Joshua Warner; [email protected]; @JoshAlliance
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