NARS 2014 Preliminary Results

22 April 2015


(“Nationwide”, “the Company” or “the Group”)


Preliminary Results

For the 12 months to 31 December 2014


Nationwide provides integrated automotive accident repair management services to the UK insurance industry, fleet and retail customers. It is the largest dedicated provider of accident repair services in the UK.

Key Points

• Agreement reached on terms of a recommended cash acquisition for the Group by Canaveral Bidco Limited (The Carlyle Group), announced on 1 April 2015

• Results in line with management expectations - improved performance reflects benefits of organic growth, operational efficiency improvements and acquisitions

• Revenue of £187.0m (2013: £156.6m) - acquisitions contributed £21.9m
-   insurance revenues up 24.7% to £139.1m – market share up
-   fleet market revenues up 8.2% to £43.7m
-   retail sales at £4.2m (2013: £4.7m) 

• Underlying (1) PBT of £5.3m (2013: £3.1m) / Statutory PBT of £1.3m (2013: £0.1m)
-   separately identified items and amortisation of intangibles of £4.0m (2013: £3.0m)

• Gross margin of 36.7% (2013: 35.8%)

• Underlying (1) EPS of 9.4p (2013: 5.1p) / Statutory EPS of 1.6p (2013: 0.5p loss)

• Strong underlying (1) cash flow and working capital management contributing to a net cash balance at 31 December 2014 of £1.5m (31 December 2013: £6.3m)

• Two acquisitions completed, Howard Basford (in February) and Gladwins (in September)
-   enhance operational efficiencies in North West and East of England
-   represent templates for further regional acquisitions

• Two major contract agreements signed – with AXA UK and Allianz Insurance plc

• Post period end acquisition of Seward Accident Repair Centres Limited in the South of England

• Encouraging start to new financial year – Group is well placed with enhanced growth opportunities

1. ‘Underlying’ is calculated before separately identified items and amortisation of intangibles.

Michael Marx, Chairman, commented,
As the market leader we see clear growth opportunities which include further acquisitions as well as additional strategic initiatives that should enhance the position of the Group and its customers. Our recent acquisitions of vehicle accident repair specialist groups help to increase Nationwide’s presence in its target markets and to enhance operational efficiencies in these regions. The broadening of our complementary automotive service range together with improving economic conditions positions the Group to generate growth both organically and through further acquisitions.”

The full announcement can be seen here: