Davies Group reports strong results and continued growthhttps://davies-group.com/wp-content/uploads/2017/10/Davies_growth-1-1024x576.jpg 1024 576 Davies Davies https://secure.gravatar.com/avatar/8701b704854a928de11468b9da32a48c?s=96&d=mm&r=g
Davies Group has announced its latest annual results to 30 June 2017, which show strong growth in revenue and operating profit. Revenue increased by 23% to £55.1m and EBITDA grew by 38% on the back of more than 50 new account wins and targeted acquisitions.
Davies broadened its capability in its claims solutions business as well as adding new services across: complaints handling, compliance and regulatory services. Davies continued its improvement programme with significant investment in training & development, technology, and innovation.
Davies is well positioned as a leader in the delivery of specialist operations & digital solutions to insurance businesses and organisations in other highly regulated markets.
Financial Highlights (year ended 30 June 2017):
- In January 2017, US private equity firm HGGC took a majority stake in Davies which unlocked a dedicated acquisition facility to invest in digital transformation, people and add new capability and solutions.
- 50 new account wins from new and existing clients plus a strong pipeline across its four core channels (Insurer, Lloyds & Specialty, MGA & Broker, and large corporate).
- Investment in new specialisms with the addition of Surveyorship, Core Claims and Cynergie.
- Continued investment in development and rollout of its Cq claims platform, delivering shorter cycle times and more efficient claims handling.
- Since the year end, the addition of CMSL adds specialist casualty claims capability, and the acquisition of Ambant offers a broader range of insurance services to its MGA, broker and insurer clients, including in areas that are subject to Lloyd’s and FCA regulation.
Dan Saulter, CEO of Davies Group said: “Our latest results show that our strategy of investing for the future continues to pay off. We have taken our message out to new and existing clients, and have delivered strong organic growth through more than 50 account wins. This is set alongside our continued commitment to adding capability via targeted acquisition, in a market that will continue to consolidate. New investment from HGGC in January provided us with a strong capital platform and renewed ambition. We have a long track record of investing in our people and I am proud that we have promoted more than 100 colleagues to new roles across the group in the past year. We have a fantastic team here at Davies and they should be rightly proud of their continued success”.
Notes to Editors
Davies Group delivers operations management, digital solutions, and consulting to organisations in highly regulated markets, including insurance, financial services, utilities, communications, and to regulatory bodies. Our core services include: claims solutions, insurance services, complaints handling, and compliance & regulatory services. We help our clients reimagine their business processes and gain new insights, delivering operations & digital solutions that sit at the core of their business, enabling service improvement, accelerated growth, and increased efficiency. Davies delivers third party administration (“TPA”) and specialist digital & technical services in the UK & Ireland, across property, casualty, motor and niche lines, working with insurance intermediaries, the Lloyds market, UK and Global insurance companies, and large self-insured businesses. With a 1,000 strong team, Davies handles more than 200,000 claims per annum, for more than 150 clients; managing more than £1.5bn of annual claims spend. In addition to its TPA services, Davies provides value-added technical services including loss adjusting, surveying, fraud investigation, credit hire & motor impact defence, and supply chain solutions. Following its acquisitions of Cynergie, Davies added complaints handling, compliance services, and regulatory projects; as well as Underwriting, Broker & Project services through its acquisition of Ambant. Davies is owned by HGGC and management following the acquisition of the business from funds Epiris (formerly Electra Partners) in January 2017. Davies has grown both organically and via targeted acquisitions. It has completed the following acquisitions in the past four years: Garwyn Group, Associated Loss Adjusters, MFS, Argent, Carmichaels, Surveyorship, Core Claims, Cynergie, CMSL and Ambant.
HGGC is a leading middle-market private equity firm with over $4.25 billion in cumulative capital commitments. Based in Palo Alto, California, HGGC is distinguished by its Advantaged Investing model that is designed to enable the firm to source and acquire scalable businesses at attractive multiples through partnerships with management teams, founders and sponsors who reinvest alongside HGGC, creating a strong alignment of interests. Over its history, HGGC has completed more than 75 platform investments, add-on acquisitions, recapitalizations and liquidity events with an aggregate transaction value of more than $14 billion. More information, including a complete list of current and former portfolio companies, is available at www.hggc.com.
Media Contact (Davies): Russell O’Connor, Head of External Communications, Davies Group. Tel: 07760 282586