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SimplyBiz revenue up 15%

SimplyBiz revenue up 15%

SimplyBiz has seen its pre-tax profits fall slightly in 2018, when compared with last year, but revenue was up 15 per cent. 

According to the group’s full year results announced today (March 5), pre tax profits fell to £4.2m for the year ended December 2018, compared with £5.5m for the year ended December 2017. 

The group’s revenues rose 15 per cent to £50.7m, while adjusted profit after tax, which excludes operating exceptional costs, exceptional finance charges, amortisation and share based payment charges, showed a 61.6 per cent increase to £8.6m. 

The firm had an operating profit of £6.8m for the year, after charging IPO related costs of £3.6m having listed on AIM in April 2018. 

The listing raised £30m for Simplybiz. Net debt reduced from £1.6m at the date of the listing to net cash of £6.4m at December 31, 2018. 

Member firms increased by 8.5 per cent to 3,726 in 2018.

Ken Davy, chairman of The SimplyBiz Group, said: "With our impressive revenue growth, well-supported by a number of structural drivers, the strength of the group’s regulation and capital light operating model is clearly demonstrated by a significant increase in EBITDA margin. 

"The continued growth in membership numbers is testament to the value of our proposition as individuals and businesses continue to adapt to an increasingly complex and highly regulated intermediary market.

"Having successfully deleveraged the business, our balance sheet strength ensures we have a strong platform from which we can take advantage of the significant market opportunities we see."

SimplyBiz announced a proposed final dividend of 2.05p per share, in respect of the nine months trading to December 31, post IPO.