RNS-Historic 09 May 2019 Watchstone Group plc Preliminary results for the year ended 31 December 2018 Watchstone (AIM:WTG.L) today announces its results for the year ended 31 December 2018. Financial/operational: · Revenues of £38.0m (2017: £44.9m) · Underlying* EBITDA loss of £4.6m (2017: £3.6m) · Group operating loss of £20.5m (2017: £7.4m) · Total loss after tax £18.9m (2017: £2.6m) · Group net assets of £46.8m representing approximately 101 pence per share · Group cash and term deposits at 31 December 2018 of £50.1m** · Successful resolution of a number of legacy tax matters and other obligations resulting in the release of provisions of £1.9m (2017: £10.3m) · Mark Williams, Group Finance Director, to step down from the Board on 30 June 2019 in line with further simplication of Group operations "During the year, we largely completed the work to simplify and rationalise the operating assets of the Group and significantly reduced the size of the central overhead. In line with this, Mark Williams, Group Finance Director has notified the Group of his intention to step down from the Board on 30 June 2019. It is not currently envisaged that Mark will be replaced on the Board. We remain on track with the execution of our plan to prepare our businesses for future disposal. These potential divestments will be determined with a view to maximising shareholder value taking all factors into consideration. Our Canadian physiotherapy clinic and technology business, ptHealth, trades profitably with future opportunities for profit improvement from both organic growth and margin enhancement. Our UK based specialist insurance broker, ingenie, has emerged from a challenging period and its new management team has formulated a turnaround plan and although we remain in the early stages, we are beginning to see shoots of recovery. We will continue to address the legal and regulatory matters that face the Group with resolve, focus and determination. There is still much work to be done, both at the Group level and within our businesses, and I would like to thank our colleagues for their commitment. I would particularly like to thank Mark for his dedication and effectiveness in dealing with a multitude of complex legacy issues. I would also like to thank our shareholders who have been patient and maintained support for the Company as the intense work to maximise value from all our assets has continued. The Board remains confident that we will go on to reward that support. Richard Rose Non-executive Chairman Group Chief Executive’s Update Our focus remains on resolving all of our legacy matters as efficiently as possible and generating as much value as we can from our remaining businesses, ptHealth and ingenie. Each business has a clear strategy as well as high quality and ambitious management teams and our plan is to achieve maximum value from an exit at the appropriate time. Until we resolve the Slater & Gordon litigation we will not be able to distribute capital to shareholders but that remains our ultimate aim. Later this year, we will robustly defend in court what we consider a wholly unmeritorious claim. Further, we remain in communication with Slater & Gordon regarding any deferred consideration due from Noise Induced Hearing Loss (“NIHL”) cases." Full details via link below: [link]
RNS-Historic Polygon increased from 26.925% to 27.393%% [link]
RNS-Historic Polygon increased from 25.078% to 26.925% [link]
RNS-Historic 31 January 2019 Pre-close trading update Watchstone Group plc (LON:WTG) today issues a pre-close trading update ahead of its results for the year ended 31 December 2018. See revenue table via Link: Pre-close trading update Cash and term deposits on 31 December 2018 totalled £50.1m (£58.4m as at 30 June 2018) excluding the £50.2m in escrow pending resolution or determination of the claim issued by Slater & Gordon (UK) 1 Limited (“Slater & Gordon Claim”). Healthcare services: Healthcare services consists of our Canadian ptHealth clinics business and InnoCare, our clinic software, referral network and managed services business. In the year, the Healthcare services division grew revenues in local currency despite the sale and conversion to a managed service offering of one of its underperforming clinics. However, adverse movements in the Canadian Dollar relative to Sterling has resulted in lower revenues being recorded overall in Sterling. During the second half of 2018, ptHealth was appointed as the Canadian Arthritis Society’s national physiotherapy provider and also became the first physiotherapy provider officially certified as a Great Place to Work® by the Great Place to Work® Institute Canada. As anticipated, a significant proportion (39%, C$4.23m (approximately £2.5m)) of the preference shares in the business have been redeemed in the year. Profitability is expected to be broadly flat relative to 2017 however a significant restructuring of the clinic business has been completed in the year which more closely aligns costs to revenues and should create more optimal conditions for profitable growth. ingenie: As previously described, challenging trading conditions have continued to further impact retail volumes. A number of initiatives have been undertaken to address these issues including the recent broadening of underwriting partnerships and this has seen positive, albeit early, trends. Further structural changes to the business continue which are anticipated to revive the retail competitiveness of the offering during H1 2019. The ANWB programme is performing well and underlines the credibility and relevance of ingenie’s business to business offering. ingenie’s B2B pipeline is strong with a variety of opportunities being pursued with vigour. Central costs and overall results: Central costs were rationalised at the end of 2017 and this is reflected in materially lower expenditure during 2018. Legacy matters: The Slater & Gordon Claim is ongoing and the disclosure process commenced in December 2018. Our position remains that Slater & Gordon’s allegations of deceit and the associated breach of warranty claim are wholly without merit and should never have been advanced. During the year, significant costs have been incurred in defence of this claim and we continue to bolster the provision for legal costs in anticipation of a trial commencing in October 2019. In parallel, we continue to pursue any deferred consideration due from Slater & Gordon in respect of the disposal of the PSD. The SFO investigation continues and we are cooperating fully. It remains the only regulatory inquiry to which the Group is subject. 2019 outlook: 2019 will be an important year for the Group both in terms of growing its operating businesses and dealing with the Group’s legacy issues as efficiently as possible. Pre-close trading update
Re: In court today I asked Watchstone what court appearance was about and got following reply:"The Case Management Conference was a normal administrative stage of the process. There was no outcome as such and the process advances. Trial likely to mid 2019 at the earliest."
In court today Slater Gordon's case against Watchstone is having an application hearing in Commercial court today at 2pm in front of Justice Butcher
Does anyone have any update on Your Legal Friend claim against Quindell ? or the SFO enquiry? YLF haven't updated since Sept 17 - at this rate we'll be dead & buried before any conclusion!
Re: Business update and broker update Class action been lodged for some time, no provision made for it in accounts, I wonder why?!?!?
Re: Business update and broker update they need to keep a load of cash for the hundreds of people issuing class action legal proceedings
Business update and broker update Watchstone Group said overall trading results for its "underlying" businesses were expected to be broadly in line with expectations.Total revenue at its healthcare services and Ingenie business grew by a combined 2.6% to £41m.Another business, BAS, was sold, while Hubio was reclassified to a discontinued operation in the year and therefore were not included in the calculations."Overall net losses and expenses of over £6m suffered in 2017 have been extinguished as a result of the sale or closure of businesses and restructuring," the company said.The broker Peel hunt has maintained its add rating but reduced its forecast to 140 p from 162p
Re: Quindell Accountant fined Thanks for the link
Quindell Accountant fined [link]
Re: SFO SFO if it comes to anything will be against those that have left, company has actively helped SFO. Shareholder action, that now going anywhere fast. Your sell rating seems out compared to some of the institutional investors that are constantly buying. Anyway nice to hear old news, once again!
SFO I wonder how the SFO investigation has gone and how the Company will respond to the Class Action from former Quindell Shareholders who were fed information by the former CEO that some allege to be false or misleading.............
Re: Spread Low volume shares like WTG will have large spreads as it is more risky for the MM's.