Key Financial Data
Performance for the period
In our first period as a listed company, we have grown revenues by 12% to £325.8 million and underlying operating profit by 17% to £48.7 million, 18% excluding the impact of foreign exchange. We have grown revenues from our Northern Europe, North America and Asia Pacific markets. Despite challenging market conditions we have maintained stable revenues in Southern Europe, excluding the impact of foreign exchange. Reported operating profit which includes costs associated with our pre-IPO share option schemes has also increased, by 44% to £44.9 million.
Profit before tax has increased by 60% to £39.8 million from this increase in operating profits together with a reduction in interest costs as we reduced our debt.
In line with our policy of distributing approximately 40% of underlying post tax profits, our proposed final dividend of 5.12 pence per share brings the total dividend for the year to 7.54 pence per share.
Highlights of 2010 & Group KPI's
Revenue
Group revenue has increased 12% from 2009. Our Northern Europe region has grown 15%.
Underlying operating profit
Underlying operating profit which excludes legacy scheme share based payments has grown by 17%.
Gross profit
Gross profit has increased by 10% during the year to £136.7 million, reflecting the 12% growth in revenues.
Cash generated by operations
Cash generation continues to be strong.
KPI- Annual renewal rate
The Group annual renewal rate is lower than prior year due to mix effects and lower rates in Southern Europe.
KPI - Cost/income ratio
Cost income ratio has increased to 51% of revenues, reflecting the growth of our Packaged Account channels.
KPI - Live Policies
The increase of 12% during the year has been driven by the expansion of Packaged Accounts in the UK.
KPI - New assistance income
New assistance income has grown by 10%.
KPI - Operating profit margin
Underlying operating profit as a percentage of revenue has grown by 0.8%.
