Listed firm Knights plc has celebrated a ‘robust full year performance’, saying the effects of Covid-19 will ‘only accentuate the group’s acquisition opportunities’.
In a full year trading update, Knights Group Holdings plc said revenue is likely to be over £100.8m, representing a minimum increase of 36% compared with last year. Meanwhile, underlying profit before tax is expected to be ‘moderately in excess’ of £18m, up 32% year-on-year.
‘This reflects the good organic growth in the core business and the successful integration of the acquisitions completed in FY20 and FY21. The results show a particularly strong margin performance achieved in the second half as the group’s momentum returned,’ Knights said.
Full results will be published on 14 July, together with a dividend update.
On acquisitions, the firm said OTB Eveling LLP and Mundays LLP – bought in November 2020 and March 2021 respectively – have been successfully integrated and are performing ‘in line with expectations’. The group also acquired Sheffield-based Keebles LLP this month, its 13th purchase in less than three years.
‘The group expects to selectively execute on an attractive acquisition pipeline during the current year, with the medium to long-term effects of Covid-19 only accentuating the group’s acquisition opportunities in the highly fragmented market for legal services outside London,’ Knights said.
David Beech, chief executive of Knights, said: ‘Our robust full year performance is testament to the well-balanced and highly diversified business we have built over a number of years. We are proud of the commitment our talented people across the business have shown, which has delivered this resilient performance during a difficult economic period. Having emerged in a stronger position from the initial stages of the pandemic, we saw good and growing momentum in the second half of the year.’
Today, the firm issued 5,784 new ordinary shares of 0.2 pence each, taking the total number of ordinary shares in issue to 82,641,496.
Shares in Knights Group Holdings closed at 435p, down from a high of 465p last month.
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