Highlights
Half year results are significantly ahead of the same period last year, with a strong contribution from consumer legal services, which delivered the earnings enhancements anticipated at the time of the acquisition of Simpson Millar and Fosters in June and July 2014.
Reported and adjusted revenues and profits have increased significantly compared to the first half of 2014
o Revenue increased by 64% to £22.9m (2014: £13.9m)
o Adjusted profit before tax* increased by 21% to £4.1m (2014: £3.4m)
o Adjusted basic earnings per share** increased by 19% to 7.38p (2014: 6.20p)
o Reported profit before tax increased by 27% to £1.3m (2014: £1.0m) after deducting exceptional costs of £nil (2014: £1.2m), amortisation of acquired intangible assets of £2.3m (2014: £1.1m) and unwinding of discount on contingent consideration of £0.4m (2014: £nil)
o Reported basic earnings per share increased by 25% to 2.33p (2014: 1.87p)
Fairpoint is now reshaped into a broadly based professional services group
o Legal Services is now the largest single business segment representing 49% of total revenue in the period (2014: 8%)
o On a pro forma basis, Legal Services now represents 62% of Group revenues
Strong balance sheet, cash generation and new enlarged long term bank facilities provide a platform for further
growth
o Net cash generated from operating activities of £4.9m (2014: £1.0m)
o Net debt of £5.2m at 30 June 2015 (30 June 2014: £7.1m)
o Expanded bank facilities with AIB Group (UK) plc ("AIB"), agreed in August 2015, taking the total facility to £25.0m
Increased dividend reflecting strong profit and cash performance and confidence in the future
o Interim dividend increased by 7% to 2.45p (2014: 2.30p)
