Revenue and profit take a hit at AI Claims
AI Claims Solutions, a non-life insurer, suffered a fall in both revenue and pre-tax profit for the half-year ended December 31st, hit by warmer than average winter weather and the continuing reduction in accident frequency and repair cycle times.
AI Claims Solutions, a non-life insurer, suffered a fall in both revenue and pre-tax profit for the half-year ended December 31st, hit by warmer than average winter weather and the continuing reduction in accident frequency and repair cycle times.
Revenue fell 21% year-on-year from £60.1m to £47.5m, while profit before tax dropped from £1.7m to £1.2m.
Naturally, the firm was keen to emphasise that it had reduced its net debt by £3.2m to £19.1m during the period.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
In a statement the company said: "Ai Claims has delivered a creditable first half performance in challenging market conditions and continues to trade in line with management expectations. We remain confident that prudent financial management, a strong and experienced executive team and a continued focus on operational excellence will see AI Claims Solutions emerge as one of the winners in the accident management market, ready to grasp the opportunities which change inevitably brings."
The company also announced the renewal of its contract with ULR Additions, a major broker based partner, for a further period of three years with effect from 1 March 2012.
An interim dividend of 0.33p per share, equal to the amount paid last year, was proposed by the board.
The share price fell 4.9% to 1.00p.
NR
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
-
Ocado shares jump 14% after sales surge
The rise in sales comes after Ocado was dumped out of the FTSE 100 in June
By Chris Newlands Published
-
Cash ISA subscriptions surge - but will the chancellor cap ISA benefits in the Budget?
The number of savers using cash ISAs has jumped by 11%, while the popularity of stocks and shares ISAs has declined. Could ISAs be a target in the Autumn Budget?
By Ruth Emery Published