Trading Update and Notice of Results

RNS Number : 9035K

ULS Technology PLC

22 April 2015

 

ULS Technology plc

(The "Group")

Trading Update and Notice of Results

ULS Technology plc (AIM:ULS), the provider of online B2B platforms for the UK conveyancing and financial intermediary markets, announces the following trading update ahead of its full year results for the year ending 31 March 2015.

The Group expects to report full year results in line with current market expectations. Revenue for the 12 month period to 31 March 2015 is expected to be approximately £16.1m and underlying profit before tax approximately £2.9m.

In the Group's trading update announced on 31 October 2014, it indicated that the housing market was experiencing a downturn in transaction volumes and secured lending in particular. Against this backdrop, the Group is pleased to have still delivered an increase in underlying profit.

The Group continues to generate strong cash flow and the Directors intend, subject to shareholder approval, to continue the Group's progressive dividend policy this financial year.

Outlook

The Group has started the current financial period strongly with several new contract wins and expects to continue to capture further market share.

The Group expects the housing market will remain flat during the next financial year despite recent statistics from the BBA highlighting a 20% decrease in secured lending approvals year-on-year during the first two months of 2015. The Group's instructions, which generally convert into completions and revenue approximately three months later, highlight that the Group is performing more strongly than the general housing market.

Furthermore, the Group expects to launch its estate agency comparison product in the first half of the current financial year, in-line with management expectations.

Notice of Results

The Company expects to release its full year results for the year ended 31 March 2015 on 23 June 2015.

Nigel Hoath, Chief Executive of ULS Technology plc, commented: "It has been an exciting year for the Group with the listing on AIM, the acquisition of Legal Eye and the appointment of Ben Thompson as Managing Director.

"We have invested heavily in our sales and marketing resource over the last 6 months and will continue to do so. We are already seeing the benefits of this with an increasing spread of business and volumes though our eConveyancer product and a number of new contracts signed with partners. As well as growing organically, we will continue to look at acquisition opportunities as they arise."

 

Enquiries:

ULS Technology plc		Tel: [phone]
Peter Opperman, Chairman
Nigel Hoath, CEO
John Williams, Finance Director
Numis Securities Limited (Nomad & Broker)		Tel: [phone]
Stuart Skinner / Paul Gillam, Corporate Finance
James Serjeant, Corporate Broking
Walbrook PR Limited	[e-mail] or Tel: [phone]
Paul Cornelius
Helen Cresswell

 

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