Post-close trading update

16 April 2025

XPS Pensions Group plc

Post-close trading update

Third consecutive year of double-digit revenue growth

XPS Pensions Group plc ("XPS" or the "Group") is pleased to provide its post-close trading update (unaudited) for the year ending 31 March 2025 ahead of its full year results on 19 June 2025.

Trading update

The Group has continued to perform strongly with revenues growing 18% year on year.

Within this, Advisory revenues grew 10% year on year. Advisory comprises Actuarial Consulting where revenues grew 14% and Investment Consulting where revenues were down 4% year on year having grown 46% in the previous two years. Administration revenues grew 30% whilst SIP revenues grew 15% year on year.  

As in previous years, ongoing regulatory change, new client wins, and the inflation-linkage of our contracts, combined with the resilience and predictability of our business model, has driven our robust financial performance. 

Rectification projects following the McCloud judgement have provided an additional growth lever within Administration in the last 18 months. Importantly, the underlying Administration business has nevertheless continued to grow double digit % excluding McCloud remedy projects. There was a statutory deadline of 31 March 2025 for the majority of this work to be completed and therefore we will be lapping very strong comparators next year. Notwithstanding that, we see a strong underpin for growth for the Group in FY26 and beyond thanks to multiple drivers including GMP equalisation, Risk Transfer and further opportunities for Administration in both the private and public sector. 

The Group completed the acquisition of Polaris Actuaries and Consultants Limited ("Polaris") on 28 February 2025.  The acquisition will materially accelerate the Group's strategy of becoming a leading player in the fragmented UK Insurance Consulting market.

With strong revenue growth and disciplined cost management, the Board is confident of achieving full year results in line with previously upgraded expectations.

Capital Markets Event

The Group will be hosting a Capital Markets Event for institutional investors and analysts on Tuesday, 13 May 2025. The event will commence at 2.30 pm UK-time at the offices of Deutsche Numis in London: 45 Gresham Street, London, EC2V 7BF.

Hosted by XPS's Executive Team, the event will principally cover presentations from the wider Management Team on the topics of the Risk Transfer market; the Life Insurance Consulting market; and our Investment in Technology.

If you wish to enquire about registering for the event, please contact [email protected]

Paul Cuff, Co-CEO commented:

"We are pleased to deliver another year of double digit % revenue growth. There has been strong demand for our services, as clients have needed support to respond to market and regulatory changes. A highlight of the year was entry into the FTSE 250 last summer, which was a milestone to be proud of, and since then we have gone from strength to strength. Recently we welcomed new colleagues from Polaris and we are delighted to see them settling in well. As always, at XPS our culture is at the heart of what we do, and I would like to thank all our people for the way they support each other and our clients."

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Notes to Editors:

XPS Group is a leading UK consulting and administration business specialising in the pensions and insurance sectors. A FTSE 250 company, XPS combines expertise and insight with advanced technology and analytics to address the needs of over 1,400 pension schemes and their sponsoring employers on an ongoing and project basis. We undertake pensions administration for over one million members and provide advisory services to schemes and corporate sponsors in respect of schemes of all sizes, including 83 with assets over £1bn. We also provide wider ranging support to insurance companies in the life and bulk annuities sector.