AGM Statement

REDDE PLC - AGM Statement

PR Newswire

London, October 28

• News Release •

Issue Date: 29 October 2015

Redde plc(‘Redde' or 'Group’)

AGM Statement and Dividend

At today’s AGM, Avril Palmer-Baunack, chairman of Redde plc will be making the following statement regarding dividends and by way of an update on current trading of the business in respect of the period from 1 July to 29 October 2015. Unless otherwise stated, the financial and operational data, where identified, relates to the 3 month period that ended on 30 September 2015.

Dividends

Shareholders are being asked today to approve a final dividend of 4.25 pence per share, amounting to £12.2m which, if approved, will be paid on Thursday 5 November 2015 to those shareholders who were on the register at the close of business on Friday 9 October 2015. This dividend, if approved, will result in total Ordinary Dividends in respect of the year ended 30 June 2015 amounting to 8.25 pence per share and £23.5 million in aggregate.

Current Trading

The positive start to the new financial year, which I described in my statement of 2 September 2015, has continued since that date. Sales show an increase over the corresponding period last year reflecting stronger trading volumes and the commencement of new contracts. As a consequence, trading profits are ahead of our expectations and the corresponding period last year. Early indications are that this trend has continued during October and the Board remains confident about the Group’s prospects for the financial year as a whole. The Group is seeing an increasing level of new business opportunities and is well placed to take advantage of these opportunities to grow revenue and profits with no undue increase in working capital.

Cash generation has continued to be positive and, after paying the Special Dividend in respect of Autofocus on 30 July 2015, which amounted to £2.9m, net cash was £39.6m at 30 September 2015 and compares to net cash of £39.7m at 30 June 2015. Total cash balances were £69.9m at 30 September 2015 compared to £68.6m at 30 June 2015.

FMG Acquisition

Shareholders will be aware that the Group completed its acquisition of the FMG group on Tuesday 27 October 2015 by way of the payment of approximately £41.0m from existing cash resources and the issue of 3,048,220 new ordinary Redde shares at a price of 164.03 pence per share. As at the close of business the day before completion FMG had total bank cash balances of approximately £7.3m.

**Ends**

Notes for Editors:

About Redde plc:

Founded in 1992 and working predominantly with insurance companies, insurance brokers and prestige motor dealerships, the Group provides a range of accident management and legal services. The Group also deals directly with large national fleets providing incident management and mobility continuity and the Group's activities also encompass a range of legal services designed to assist claimant parties in partnership with leading insurance companies, brokers and other bodies.

The Group is one of the market leaders in its fields of business; it delivers accident management solutions to motorists ensuring that they remain mobile until their own vehicles are repaired or until they are put in a position to obtain a replacement and it provides legal services ensuring that they are properly compensated for their injuries and losses.

The name Redde is associated, in Latin, with the concept of restoration.