NCC Group Preliminary Results

donderdag 5 juli 2012 | 0:00

Increasing international revenue growth drive revenues up 24% and profits up 27%

Eight year CAGR for operating profit 21% and dividend 31%

5 July 2012: NCC Group plc (LSE:NCC, "NCCGroup" or "the Group"), the international, independent provider of Escrow and Assurance, has reported its preliminary results for the year to 31 May 2012.

Financial

• Revenue increased 24% to £87.7m (2011: £71.0m) - organic 17% growth
• Operating margin* increased to 27% (2011: 26%)
• Adjusted pre-tax profit* increased 27% to £22.6m (2011: £17.8m)
• Adjusted fully diluted earnings per share* up 24% to 46.7p (2011: 37.7p)
• Total dividend up 24% to 16.1p (2011: 13.0p)
• Cash conversion ratio 131% of operating profit (2011: 133%)

Operational

• Group Escrow maintained strong revenue growth of 12% - UK up 7%          
• Increased US presence                                                                      
• Assurance Division enhanced international profile and position                  
• Organic revenue growth 23% and operating margin up to 17% (2011: 14%)                                                                                                 
• iSEC acquisition notably enhanced position and widened global capabilities                                                                                         
• Innovation and development of potential major areas, including.secureandDDoS Secure

Outlook for 2012/2013

• Group Escrow renewals forecast to increase by 4% to £17.9m (2011: £17.3m)
• Assurance Division order book and renewals up by 10% to £25.5m (2011: £23.1m)

* Operating profit is adjusted for amortisation of acquired intangibles, exceptional items and share based payment charges.  Pre-tax profit is adjusted for these items and the unwinding of the discount on the acquisitions' contingent consideration. 

Rob Cotton, NCC Chief Executive, commented:

"Since we listed the Group in 2004 at 170p per share we have delivered a consistent year-on-year performance. Over that time, including today's announcement, we will have paid 66.85p per share of dividends to shareholders, and grown operating profit by a CAGR of 21% - a notable achievement given the economic trading environment over the last few years.

"We have built a very strong international business that is well positioned to capitalise on some of the key issues affecting the boardroom. The risk to all corporates as well as government bodies from cyber-crime and information security, for example has never been higher. As Jonathan Evans, the Director General of the Security Service, said on 25 June 2012, 'The Boards of all companies should consider the vulnerability of their own company to these (cyber) risks as part of their normal corporate governance'.

"With our global reach and product range - we monitor 16 million web sites weekly and protect 15,000 clients around the world - as well as our strong forward visibility, we remain confident about continuing to maintain our strong growth record."

To view the Preliminary Results for the year ended 31 May 2012 in full please click here

Enquiries:

NCC Group  (www.nccgroup.com) 
0161 209 5432
Rob Cotton, Chief Executive  
Atul Patel, Group Finance Director 
 
College Hill 
Adrian Duffield/Jon Davies/Rozi Morris 
020 7457 2020