But profits remain flat at loss adjuster
Loss adjuster and consultancy Charles Taylor Consulting’s revenue increased 6% to £108.2m in 2012 (2011: £102.5m).
The group’s adjusted profit before tax remained flat at £9.6m (2011: £9.6m), while group statutory profit before tax increased to £7.1m (2012: £6.4m).
The group’s core professional services businesses – management, adjusting and insurance support services – increased revenue 5% to £106.1m (2011: £101.4m).
The company noted a strong performance in management services business, where operating profit rose to £7.1m (2011: £5.7m).
This was offset however by a lower result in adjusting services, which recorded a drop in operating profit to £2.7m (2011: £5.8m) because of “an unusual and significant market-wide fall in the number of larger, more complex insurance claims, particularly in energy, combined with increased expenditure on new staff and offices”.
This led to a £1.8m drop in the overall professional services operating segment profit to £9.8m.
The group’s insurers in run-off business posted a revenue of £5.4m (2011: £3.6m) and an operating segment profit of £0.2m (2011: £0.7m loss). This was largely a result of the transfer of the Alico business, acquired in 2011, into the Isle of Man life run-off business, it said.
Group chief executive David Marock said: “2012 has been a year of developments on many fronts for Charles Taylor. We have completed the first full year of implementing our business strategy for growth and I am pleased to report that we have made real progress.
“Our overall performance has demonstrated the resilience of our diversified business model, as the performance of our management services business and Isle of Man life run-off insurance business almost entirely offset the reduced earnings from our adjusting services business.”