REG - Begbies Traynor - AGM Statement

Begbies TraynorAnnouncement

22/09/2022 07:01

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RNS Number : 2111A  Begbies Traynor Group PLC  22 September 2022

22 September 2022

 

Begbies Traynor Group plc

 

AGM Statement

 

Trading Update

 

Begbies Traynor Group plc ("the group"), the business recovery, financial
advisory and property services consultancy, is today holding its Annual
General Meeting. Ric Traynor, Executive Chairman, will make the following
statement:

 

"The last financial year was a further successful year for the group, with
financial performance comfortably ahead of original market expectations due to
acquisitions and improved trading. The results reflected a material increase
in scale and service offerings and a continuation of our strong financial
track record, resulting from our organic and acquisitive growth strategy.

 

Since 2018 we have increased revenue from £52m to £110m, operating margins
from 11.6% to 16.9%, adjusted profit before tax from £5.6m to £17.8m and
adjusted earnings per share from 4.0p to 9.1p, respectively, from a
combination of acquisitions and organic growth. Last year was no exception, as
all areas of the group delivered strong growth. Over the same period, we have
also increased dividends by 10% CAGR and moved from net debt to net cash.

 

We have made a good start to our new financial year. Trading for the first
quarter to 31 July 2022 was in line with expectations, with encouraging
activity levels across both operating divisions. The level of new insolvency
appointments continues to increase year on year, with an increasing number of
larger, mid-market insolvency and restructuring cases emerging, as a result of
the increased activity in administrations and our expanded London office and
offshore practice.

 

Notable recent appointments include the ongoing administrations of Avonside
Group, the largest roofing contractor in the UK, and Silverbond Enterprises
Limited, the former operator of the Park Lane Casino in London. In addition,
we have advised on the first SME court sanctioned restructuring plan (enabled
by the Corporate Insolvency and Governance Act 2020), of Houst the short-term
holiday lettings operator. This follows our previous use of this new
legislation on the mid-market Amicus finance restructuring in 2021.

 

At this early stage of the financial year, we therefore remain confident of
delivering market expectations* for the full year.

 

We have completed two acquisitions in the new financial year: Mantra Capital,
the London-based property finance brokerage, in July 2022; and the chartered
surveyors practice, Budworth Hardcastle, in June 2022. The integration of both
businesses is underway and progressing in line with our expectations.

 

Overall, the group remains in a strong position. Our scale, capabilities and
breadth of expertise provide us with the ability to continue to assist our
clients as they face the challenges of the forthcoming year.

 

We will next update on current trading with our half year results, which are
due to be released in December 2022."

 

* current range of analyst forecasts for adjusted PBT of £19.7m-£20.6m (as
compiled by the group)

 

- ENDS -

 

 

Enquiries please contact:

 

Begbies Traynor Group
PLC
    0161 837 1700

Ric Traynor - Executive Chairman

Nick Taylor - Group Finance Director

 

Canaccord Genuity Limited
 
    020 7523 8000

(Nominated Adviser and Joint Broker)

Emma Gabriel / Patrick Dolaghan

 

Shore Capital
 
020 7408 4090

(Joint Broker)

Malachy McEntyre / Mark Percy / Anita Ghanekar / James Thomas

 

MHP
Communications
              020 3128 8567

Reg Hoare / Katie Hunt / Pauline
Guenot
     begbies@mhpc.com (mailto:begbies@mhpc.com)

 
 

Further information on Begbies Traynor Group can be accessed via the Group's
website at www.begbies-traynorgroup.com/investor-relations

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