Tribal Group PLC
26 April 2006
Tribal Group plc ('Tribal Group' or the 'group')
TRADING UPDATE STATEMENT
Tribal Group, the leading UK consultancy, professional support services and
healthcare delivery company, issues this statement as an update on trading
during the year ended 31 March 2006. The Group's preliminary results will be
announced on 20 June 2006.
The board is pleased with the trading performance of the Group in the final
quarter and expects adjusted profit before tax and eps for the year to be in
line with market forecasts. Gross revenue exceeded £214m, with underlying
organic revenue growth of 18%.
Cash generation in the second half was excellent and net debt at the year end
was approximately £78m including £20.5m drawn down under the non-recourse
Mercury Health project finance facility. Operating profit to cash conversion was
well over 90%.
During the year, there have been very strong performances from our newly merged
education and technology division and from our communications division.
A more difficult healthcare market has impacted margins in our resourcing
division, where, as previously anticipated, there has been a significant
reduction in recruitment advertising revenue, and in our property division,
where there has been revenue slippage in healthcare PFI. There has been strong
revenue growth in our consulting division, particularly in central government,
although margins have been affected by the tightening NHS market.
Tribal's healthcare delivery business, Mercury Health, has performed strongly.
It has now opened its first three treatment centres on time and to budget. Its
fourth, and largest, centre in Mid-Sussex will be fully operational from July,
as planned. We are currently short-listed on a number of diagnostic and elective
surgery contracts as part of the Phase 2 procurement programme.
With committed income for the current year at a record level of £128m, the board
is increasingly confident about the Group's prospects in the current year and
beyond.
End
For further information contact:
Henry Pitman, Chief Executive, Tribal Group plc Tel: 01285 886020
Simon Lawton, Group Finance Director, Tribal Group plc Tel: 01285 886020
Neil Bennett, Maitland Tel: 020 7379 5151
Colin Browne, Maitland Tel: 020 7379 5151
A presentation will be made to Analysts and Investors at 9am on 26 April 2006
and a copy of this will be made available on the Tribal Group's website.
Editors' note:
Tribal Group plc provides a range of consultancy and support services to the UK
public sector and healthcare services for the NHS. The Group's core markets are
in education; local government, housing and regeneration; health and social
care; and central government. The group employs 2,300 staff in the UK. Tribal is
quoted on the London Stock Exchange (TRB.L).
Links: Tribal Group plc website: www.tribalgroup.co.uk
This information is provided by RNS
The company news service from the London Stock Exchange
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