Interim Management Statement

RNS Number : 2805W

Wilmington Group Plc

06 November 2014

 



6 November 2014

Wilmington Group plc

Interim Management Statement

Wilmington Group plc ("Wilmington" or "the Group"), the provider of Information, Compliance and Education to professional markets, presents its Interim Management Statement for the period from 1 July 2014, based on the results for the three months ended 30 September 2014 with comments reflecting trading to date.  This statement is also being made at the Group's Annual General Meeting being held today.

Trading Update

The Group has made a good start to the year with revenue up during the three months ended 30 September 2014 despite adverse currency effects. Our business is performing well against the comparative period in 2013 and in line with our expectations.

Banking & Compliance: ICT (compliance training) continues to secure major training programmes from international banks, and this has resulted in strong revenue growth during the three months ended 30 September 2014. As previously reported we have invested in additional resource to support the business' expansion, and despite this contribution to profits has grown strongly.  AMT (banking training) which delivers most of its revenue and contribution during the summer months has again delivered revenue and contribution in line with our expectations, with a particularly strong performance from its graduate programmes in Hong Kong. This division does have significant international operations and has been adversely impacted by movements in exchange rates.

Pensions & Insurance:  This division continues to deliver revenue and contribution growth and has maintained its high margins. ICP (company credit reporting), which had a record year last year, has seen a small fall in demand but has mitigated this to a large extent by good cost control. This division also has significant international operations and has therefore also been adversely impacted by movements in exchange rates year on year.

Healthcare:  This division benefitted from a significant investment last year with five senior appointments which is reflected in a higher overhead base in the first quarter compared to the same period in 2013. We have seen positive overall revenue growth compared to the same period in the prior year despite the negative impact of the Euro on our French language medical news agency, Agence de Presse Médicale. It is too early to see if the challenging conditions have abated but we are encouraged by the good start to the year.   

Legal:  The Legal division has continued to experience challenging conditions although the rate of decline has moderated and some areas, particularly Bond Solon, continue to see growth.  Our lower cost base has meant that the performance from the division has improved compared to the same period in 2013.

Business Intelligence:  As anticipated, revenue is up slightly on the same period in 2013. This combined with a lower cost base resulted in contribution in line with our expectations and up on the same period in 2013.

Accountancy: The division has enjoyed a strong start to the year reflecting inter alia demand for face to face public course training.  This additional revenue is reflected in the division's pleasing overall increase in contribution due to the operational gearing of the business.

Management

As previously announced, Pedro Ros assumed the role of Chief Executive on 1 October 2014 having joined the Board on 14 July 2014.

Net Debt

The Group's cash position remains robust benefitting from strong operational cashflows.  Net debt as at 30 September 2014 was £32.6m (30 September 2013: £39.2m).

Outlook

The overall trading background has not changed significantly since the full year 2014 results announcement and the business is on track to meet our expectations for the full year.

We are progressing well on our review of the businesses and expect to provide an update during December 2014.

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For further information, please contact:

Wilmington Group plc	020 7422 6800
Pedro Ros, Chief Executive Tony Foye, Chief Finance Officer
FTI Consulting	020 3727 1000
Charles Palmer / Emma Appleton

 

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