Australian-based travel insurance and medical assistance provider with New Zealand operations has delivered results ahead of the FY2014 forecast in all operating and geographic segments.
Cover-More Group Ltd (ASX:CVO), which also has operations in China, India, Malaysia, Singapore and the UK, issued the following results in a market announcement:
- 20.1% growth in pro-forma gross travel insurance sales to A$369.1 million
- 26.9% growth in pro-forma EBITDA to A$51.9%, up 9.7% on prospectus forecast of A$47.3 million.
- 38.5% growth in pro-forma NPATA to A$30.6 million, up 11.3% on prospectus forecast of A$27.5 million
- 51.2% growth in pro-forma NPAT to A$25.1 million, up 14.1% on prospectus forecast of A$22.0 million
- Operating cash generation before capital expenditure of A$50.5 million, compared favourably with the pro-forma prospectus cash flow forecast of A$46.7 million.
- Total dividend of 7.2 cents per share, 100% higher than the prospectus forecast, comprising an ordinary dividend of 4.0 cents and a special dividend of 3.2 cents per share.
Group CEO Peter Edwards, said that Cover-More had performed strongly since listing on the ASX in December 2013.
“Cover-More’s strong intermediary relationships in the Australian market underpin a full year result comfortably ahead of prospectus forecasts.
“It’s pleasing to see the investment we have made in technology and innovation over the past three years now making a significant contribution to the group’s growth.”
The report outlined how diversification of Cover-More’s revenue and earnings base had improved the quality of its earnings as the business had become less dependent on any one channel, geography or segment.
Recent successes in New Zealand include introducing a partnership with Air New Zealand to cover both retail and online channels using Cover-More’s specialist e-commerce platform Impulse.