1st Sep 2016 07:45
LONDON (Alliance News) - Accident management, vehicle fleet and legal services company Redde PLC announced growth in its profit and revenue for its full year after expanding with the acquisition of fleet accident management company FMG.
Redde made a pretax profit of GBP31.3 million for the year ended June 30, up from GBP24.3 million the year before, as revenue rose to GBP379.2 million from GBP248.7 million. This included 28% growth in like for like sales, excluding GBP61.2 million of revenue from FMG.
The board recommended a final dividend for the year of 5.15 pence, up by 21% from the 4.25p paid for the previous year.
Redde acquired FMG for a total consideration of GBP46.0 million in October 2015 and said the acquired company had delivered results "above our initial expectations". FMG helped drive a more than doubling in the total number of repairs undertaken by the group year on year.
"The new financial year has started well with performance in this short period since the year end being ahead of our expectations and the corresponding period last year. Volumes are increasing through a combination of new business wins and existing customer growth" said Chairman Avril Palmer-Baunack.
"These developments, together with the combination of our recent strategic acquisition, organic growth and further planned improvements in operational and administrative efficiency, continues to give the board encouragement for the future" the chairman added.
Shares in Redde were up 1.8% at 203.94 Thursday morning.
By Adam Clark; [email protected]
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