Quindell Portfolio expects improved fourth-quarter earnings

Quindell Portfolio reported Tuesday it expects fourth-quarter results will be 'significantly ahead' of market expectations.

The board of the company - a provider of expertise in software, consultancy and technology enabled outsourcing in insurance and telecommunications - announced that earnings per share will be higher than anticipated for the year ending December 31st 2012.

"This is a result of both increasing volumes being transacted by the group's services division, as pilots have continued to be converted into contracts, and new sales made by its solutions division," the company explained in a statement.

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The firm added that it had entered into additional long-term agreements and pilot volumes had more than doubled.

Quindell's group services division has converted further outsourcing and partnerships during the past week and expects the trend to continue through to next April.

The company has also received approval from the Solicitors Regulation Authority in relation to its application for a licence to operate as an alternative business structure for legal services. This will be effective from December 21st.

Quindell said it welcomed the UK government's proposal for fast-tracked fixed fees structure for road traffic accident portal claims.

The company is set to expand over the next year with the creation of more than 300 new jobs in its legal services.

The board believes it is well placed to operate following the government's recent announcement to enter a period of consultation regarding whiplash injuries and to raise the small-claims track threshold from £1,000 up to £5,000.

Rob Terry, Chairman and Chief Executive of Quindell said: "With the changes to legislation within the UK insurance industry now fast approaching, our solutions and services based proposition of maintaining income and competitive advantage for our insurance clients and reducing costs for the overall insurance market is proving to be highly attractive.

"Quindell welcomes any proposals that protect consumer rights and champion industry change. Above all else, the market needs clarity. Our combined model and diversified offering means we can still operate profitably within the scope of the new proposals whilst supporting lowering the cost of claims for the industry as a whole."

RD