JTC PLC Shows Strong Performance in First Half of 2023

JTC PLC, a London-listed provider of fund, corporate, and private-client services, has released its financial results for the first half of 2023. Despite a fall in pretax profit, the company remains optimistic about exceeding market expectations for the full year due to organic growth and new business wins.

Financial Highlights

  • Pretax profit for the six months ended June 30 was £11.9 million, compared to £21.0 million in the same period last year.
  • Revenue increased to £121.5 million, up from £93.0 million, driven by organic growth and successful business acquisitions.
  • The underlying earnings before interest, taxes, depreciation, and amortization (EBITDA) margin remained strong at 33.1%, slightly higher than the previous year’s margin of 33.0%.

Dividend Increase

JTC has declared an interim dividend of 3.5 pence per share, reflecting the company’s confidence in its financial performance. This represents an increase from the previous year’s dividend of 3.1 pence per share.

Future Outlook

Despite some short-term challenges, JTC remains optimistic about its medium-term prospects. The company expects to achieve net organic revenue growth between 8% and 10% per year. Additionally, JTC reaffirms its guidance for an underlying EBITDA margin in the range of 33% to 38%. It anticipates that during periods of significant revenue growth, the EBITDA margin may be towards the lower end of the range.

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