REG - Anexo Group PLC - Pre-Close Trading Update & Mercedes Class Action

AnexoAnnouncement

04/04/2023 07:00

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RNS Number : 2440V  Anexo Group PLC  04 April 2023

 For immediate release  4 April 2023

 

Anexo Group plc

 

('Anexo' or the 'Group')

 

Pre-Close Trading Update

Mercedes Class Action

 

Anexo Group plc (AIM: ANX), the specialist integrated credit hire and legal
services provider, is pleased to provide the following pre-close trading
update for the year ended 31 December 2022 ('FY-2022') ahead of the release of
its FY-2022 Final Results on 9 May 2023.

 

Performance for the Full Year ending 31 December 2022

 

·    Revenue is expected to be between £135.0 million and 137.0
million(1)

·    Profit before tax for the Group is expected to be between £24.0 and
£26.0 million, at the upper end of this range broadly in line with market
expectations(1     )

·      The Group remains focused on quality claims, high service
standards and high success rates. The number of vehicles on the road as of
31(st) December 2022 was 1,730.

·    Bond Turner's Housing Disrepair team has settled approximately 2,000
cases since inception and in excess of a further 3,000 cases are currently
under management.

·    As at 31 December 2022, the Group's overall net debt stood at £73.1
million (31 December 2021: £62.0 million)

 

(1)Subject to final audit

 

Current Trading

 

The Group's credit hire division, EDGE, has continued its focus on quality
claims, high service standards and high success rates. The adoption of this
targeted approach has led to continued strength in the market, and an
optimistic outlook for 2023.

 

The Group's legal division, Bond Turner continues to benefit from the
re-opening of the court system, which has seen an increase in cash
collections, supporting further investment in new claims in credit hire,
housing disrepair and emissions litigation. This trend is expected to continue
through 2023 and cash collections are currently running at record levels.

 

The Housing Disrepair team continues to perform strongly; it is currently
dealing with in excess of 3,000 cases and since inception has settled
approximately 2,000 cases. The Board believes that the prospects for growth in
this division are very positive.

 

The Board will give further guidance for the full year upon the release of the
audited Final Results on 9 May 2023.

 

Mercedes Benz Class Action

 

The Group notes the judgment by the High Court granting a Group Litigation
Order, handed down on 8 March 2023. The application, brought by Leigh Day and
Pogust Goodhead, sought permission to launch a class action lawsuit against
Mercedes Benz for alleged subversion of key air pollution tests by using
special software to reduce emissions of nitrous oxides under test conditions.

 

Following the success of the application, the Board is pleased to confirm that
the Group intends to pursue litigation against Mercedes and has already
secured over 12,000 claims through internal resources and via social media.
The Board will provide further details as and when appropriate.

 

Alan Sellers, Executive Chairman of Anexo Group, commented: "We are very
pleased with the continued strong performance of the Group in the face of
difficult economic conditions. Opportunities in credit hire, housing disrepair
and emissions remain plentiful and we continue to concentrate on those cases
which facilitate the most efficient return on our working capital. We look
forward to updating shareholders further at our final results in May."

 

 

- Ends -

 

 

For further enquiries:

 Anexo Group plc                                                      +44 (0) 151 227 3008

                                                                      www.anexo-group.com (http://www.anexo-group.com)
 Alan Sellers, Executive Chairman

 Mark Fryer, Chief Financial Officer

 Nick Dashwood Brown, Head of Investor Relations

 WH Ireland Limited

 (Nominated Adviser & Joint Broker)
 Chris Hardie / Hugh Morgan / Darshan Patel / Enzo Aliaj (Corporate)    +44 (0) 20 7220 1666

 Fraser Marshall / Harry Ansell (Broking)                             www.whirelandplc.com/capital-markets
                                                                      (https://url.avanan.click/v2/___https:/eu-west
                                                                      -1.protection.sophos.com?d=whirelandplc.com&u=aHR0cDovL3d3dy53aGlyZWxhbmRwbGMuY29tL2NhcGl0YWwtbWFya2V0cw==&i=NWNkOTc2NmM5OWJhMjAxMDhmN2IyYzQ1&t=SXVCMnArbXpCUWFUR3hiN0dhVjR5Q3d4VDNrTGVJc1JZVXNxWVRpbE8zcz0=&h=0482e68813aa4f569a47aab5cdad04d1___.YXAxZTp3aGlyZWxhbmRwbGMyOmE6bzpjYjY3ZDZhNTE1ZmUwZTA0Zjg3MDFkYTJhYTAxZGMyNDo2OmU0NjA6M2ViNTgwYzkxMmM5NTFlMzUyMzM1ODhlNzcyOGFhMjZhNjI0OTkzOGRkOTkzZjQ5NTUzNjFjYzE5N2UwYTBkNzpoOlQ)

 Zeus Capital plc

 (Joint Broker)                                                       +44 (0) 20 3829 5000

 Louisa Waddell (Corporate)                                           w (http://www.arden-partners.co.uk) ww.zeuscapital.co.uk

                                                                    (http://www.arden-partners.co.uk)
 Tim Dainton (Equity sales)

 

Notes to Editors:

 

Anexo is a specialist integrated credit hire and legal services provider. The
Group has created a unique business model by combining a direct capture Credit
Hire business with a wholly owned Legal Services firm. The integrated business
targets the impecunious not at fault motorist, referring to those who do not
have the financial means or access to a replacement vehicle.

 

Through its dedicated Credit Hire sales team and network of over 1,100 active
introducers around the UK, Anexo provides customers with an end-to-end service
including the provision of Credit Hire vehicles, assistance with repair and
recovery, and claims management services. The Group's Legal Services division,
Bond Turner, provides the legal support to maximise the recovery of costs
through settlement or court action as well as the processing of any associated
personal injury claim.

 

The Group was admitted to trading on AIM in June 2018 with the ticker ANX.

 

For additional information please visit: www.anexo-group.com
(http://www.anexo-group.com) . To subscribe to our investor alert service and
receive all press releases, financial results and other key shareholder
messages as soon as they become available, please visit:
https://www.anexo-group.com/content/investors/alert.asp
(https://www.anexo-group.com/content/investors/alert.asp) .

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