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Embargoed for release 7.01 am 9 October 2013
Quindell Portfolio Plc
("Quindell" or the "Group")
Organic Growth of £300m+ per annum
Quindell Portfolio Plc (AIM: QPP.L), the provider of sector leading expertise in software, consultancy and technology enabled outsourcing in its key markets, being Insurance, Telecommunications and their related sectors is pleased to announce that further to the Group's £50+ million per annum contract win with Direct Line Group announced today, in the last few weeks, the Group has also reached agreement with 10 key brands of varying sizes for over £150 million of revenue per annum.
Of these £200 million additional revenues, circa £150 million per annum is expected to commence in Q4 2013 and circa £50 million is expected to commence as from Q1 2014. This is in addition to the previously announced £100 million of new business that has now commenced in the second half of 2013 and underpins our ability to meet the upper end of current market expectations for 2013.
The Group is now delivering organic growth totaling in excess of £300 million per annum, the vast majority of which is commencing in the current financial year, with volumes being subject to roll out, execution and industry claims frequencies. The Group's performance to date and these announced agreements therefore provide the Board with additional confidence in the Group's ability to provide the necessary visibility to the market of its outsourcing revenues to meet market expectations for 2014 and beyond.
The Group will announce its Q3 trading statement on 21 October 2013, which will provide further detail confirming that Q3 has been a record quarter in terms of revenue, its key measures of profitability and EPS, and that the Group has continued its positive trend of operating cash flow generation during this period.
Rob Terry, Founder and Executive Chairman of Quindell said: "Beyond these key agreements announced today our pipeline for new business and the opportunity for extending our relationships with existing customers has reached an all time record level. It is quite clear that the benefits of generating our customers significant ancillary income whilst driving down the costs of claims in the industry by using new settlement approaches, such as our collaboration model with at fault insurers, is driving rapid organic expansion of our business model.
It remains a key goal for Quindell and for those brands that we are working with that our business does not have too great a dependency on any one individual source of income. Therefore, we are extremely pleased to be adding both Direct Line Group and the ten other key brands to our existing circa 50 major referral partners as we prepare for further significant organic growth during 2014 and beyond. In 2014 we will be operating with a significant proportion of the market under an improved cost model for the industry and for our own cash generation, reducing the typical claim settlement cycles from circa 180 days to circa 30 days with those brands operating under our collaboration model."
For further information:
Quindell Portfolio Plc
Laurence Moorse, Group Finance Director
Ian Farrelly, Group General Counsel & Company Secretary
Head of Investor Relations
Tel: 01489 864205
Tel: 01489 864217
Cenkos Securities plc
Canaccord Genuity Limited
Joint Broker and Financial Advisor
Tel: 020 7397 8900
Tel: 020 7523 8350
Tel: 020 7382 4730
Notes to Editors:
About Quindell Portfolio Plc
Quindell Portfolio Plc is a provider of sector leading expertise in Software, Consulting and Technology Enabled Outsourcing in its key markets being Insurance, Telecommunications and their Related Sectors. Quindell enters the second half of 2013 with a run rate of gross sales of more than £350 million and with approaching £50 million of EBITDA earned in the first half of 2013. Our award winning Business Transformational, Software, Consulting and Outsourcing Solutions are recognised as delivering significant savings and additional sales to our customers every year.
For further information, please visit www.quindell.com
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