SPECIALIST long-term savings provider Hansard Global has reported strong growth in regular new business volumes.
Chairman Leonard Polonsky welcomed the new figures which he signalled as ‘encouraging.’
Hansard Global is based in the island and is a full member of the London Stock Exchange.
The news comes as Hansard International, a subsidiary of Hansard Global, is celebrating its 25th anniversary in the island.
To celebrate, a party for all staff was planned at the Abbey Restaurant, Ballasalla.
New business results for the year ended June 30 show strong growth in regular new business volumes at industry leading margins.
There was regular premium new business of £124.4 million PVNBP (Present Value of New Business Premiums) for the year, primarily from the growth economies of the Far East and Latin America. It was 11.1 per cent above the level of the previous year and is a record level for the group.
New business margins of 9.5 per cent on the PVNBP basis for the year (2011: 8.3 per cent) reflected the continued increase in regular premium business, in line with the group’s stated strategy, it said.
In a statement the group added: ‘As a result of the group’s strategy of focusing on more profitable regular premium new business, together with large single premium cases totalling £20 million issued in quarter one last year, single premium new business flows of £51.3 million in the period are 53 per cent lower than the prior year.’
In addition the group says EEV (European Embedded Value)operating profit has been impacted by assumption changes primarily concerning premium transactioions and is expected to be in the range of £3million to £6 million for the year. ‘EEV as at June 30, further constrained by investment market performance, is expected to be below expectations.’
Chairman Leonard Polonsky said: ‘The new business performance of the group is encouraging.
‘In line with our strategy we have continued to invest in regular premium flows and to focus on growth markets.
‘While the challenging economic environment has reduced EEV, we remain cautiously optimistic for the future.’
Trading results for the year ended June 30 are expected to be announced on September 21.
The group’s statement provides the following outlook: ‘Notwithstanding challenging economic conditions, we believe that the group’s focus on the growth economies of the Far East and Latin America and our continuing investment in distribution infrastructure, systems and online platform, position us for future growth.’
The international company, based in Lord Street, Douglas, employs around 170 people and is fully listed on the main floor of the London Stock Exchange.