Trading update and Customer Changes

Thursday, February 18, 2016

Press Release 18 February 2016

Personal Group Holdings PLC

(“the Company”, "Personal Group" or “PGH”)

Trading update and Customer Changes

General Trading update

  The business continues to perform well with growth in new sales, top line revenue and bottom line profit. In addition, Let’s Connect, a leader in the home technology salary sacrifice market which operates alongside and complements the Company’s core insurance business, has seen significant growth in sales and profit in 2015 following its acquisition in 2014. Overall the Group performance in 2015 was in line with expectations. Customer Changes The Company also announces that they have been informed by Royal Mail Group (“RMG”) that it intends to change its customer relationship with Personal Group. RMG is consolidating its medical plan provision to its workforce from April 2016 and this change will affect the Company. From March 2016, the Company will no longer make its core insurance products available to RMG employees. Continuity of cover for existing policyholders will be ensured with RMG continuing to collect PGH policyholders’ premiums as normal through payroll deduction. This will cease by the 31 March 2017. Through this period, Personal Group will work with RMG to effect an orderly transfer of premium collection from payroll to direct debit collection for policyholders that choose to continue with their cover. At the same time, the Company announces that it is in advanced stages of negotiating an additional trading relationship with RMG through its Let’s Connect Technology Salary Exchange division. Following a successful competitive tender process, this contract will offer eligible RMG employees PGH’s Salary Exchange Technology programme. This initial contract is expected to have a duration of four years. Mark Scanlon, Chief Executive of Personal Group commented: “Royal Mail employees are some of our longest and most loyal insurance customers going back more than 25 years and for that we are very grateful. Whilst our relationship will change and we will no longer be offering our insurance products to future RMG employees, we are delighted to be in the process of securing an additional trading relationship with RMG through PGH’s Let’s Connect business.”

-ENDS-

For more information please contact: Personal Group Holdings Plc Mike Dugdale – Chief Financial Officer +44 (0)1908 605 000   Cenkos Securities Plc Max Hartley / Stephen Keys (Nomad) +44 (0)20 7397 8900 Russell Kerr (Sales)   Media enquiries: Abchurch Communications Quincy Allan / Alex Shaw +44 (0)20 7398 7700 quincy.allan@abchurch-group.com www.abchurch-group.com

News Categories

 

Get all the latest news and information from us by signing up to our newsletter.