14th Apr 2008 07:00
GB Group PLC14 April 2008 Embargoed until 07.00 14 April 2008 GB GROUP PLC ("GB" or the "Group") TRADING UPDATE GB Group plc, the UK's leading identity management business, announces a tradingupdate for the year ended 31 March 2008. Overview The Group has completed a year of good progress and expects to recordsignificant revenue growth in the second half of the financial year toapproximately £11.5 million (2007: £7.9 million), an increase of 45% compared tothe corresponding period last year. The Group's investment in infrastructure andpeople, to continue the development of its electronic age and identityverification business, has continued. The substantial uplift in revenue fromthis business has more than offset these additional costs and the Group isexpected to generate profit before tax in the second half of the financial yearof approximately £0.6 million (2007: £0.6 million loss). Results for the full year are expected to show revenue growth of approximately30% to £19.4 million (2007: £14.9 million) and a significant narrowing of fullyear loss (before tax and after the charge for share based payments of £0.2million) to approximately £0.4 million (2007: £1.2 million loss). Further highlights for the year to 31 March 2008 are as follows: • Growth during the year came principally from a strong performance in GB's DataAuthentication business which is expected to record an increase in revenue of approximately 58%. Revenue growth has come both from new clients which were signed during the year, including Blyk and Ladbrokes, and increased usage by existing clients. • GB's DataIntegrity and DataSolutions businesses are expected to generate an increase in revenues of approximately 16% compared to the previous year. Identity management and integration with DataAuthentication are becoming more important themes for these businesses. • Cash balances were £4.3 million at 31 March 2008 (2007: £5.2 million). Outlook The Group is seeing increasing evidence of a move from manual to electronicmethods of identity verification. Additionally, a new industry sector isemerging that deals with how businesses verify and manage the identity of theircustomers to minimise fraud and regulatory risk. GB has the capability tocontinue its lead in this emerging sector and will invest accordingly tomaximise this opportunity over the long term. The Group will provide further details of its trading performance at the time ofits preliminary results announcement, which is expected to be released in lateMay 2008. - Ends - GB Group plc 01244 657333Richard Law, Chief ExecutiveMona Navin-Mealey, Finance Director Weber Shandwick Financial 020 7067 0700Ian BaileyRachel MartinHannah Marwood Website www.gb.co.uk Notes to Editors About GB Group plc GB Group believes that identity matters. Specialising in understanding consumeridentity, GB enables its clients to make more informed business decisions and tocommunicate and interact more effectively with its customers through a deeperunderstanding of their identity and behaviour. Utilising its proprietarytechnology, GB can protect, predict and provide information that is used tomaximise customer value for some of the UK's largest organisations. GB offers solutions that assist organisations to capitalise on the value oftheir customers at every point of contact. GB has three complementary offerings: •Identity Capture and Maintenance (DataIntegrity) - providing accurate contact information •Identity Verification (DataAuthentication) - combating identity fraud, money laundering and under-age gambling •Identity Analysis (DataSolutions) - understanding, targeting and retaining profitable customers GB is listed on the London Stock Exchange (GBG). For more information, pleasevisit GB Group's website: www.gb.co.uk. GB Group - because identity mattersTM This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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