Bought in today... have missed out on the impressive gains so far but solid progress is being made here and a good story developing so it looks good for more gains in the near future (imho)....

Quindell Portfolio, the brand extension company, says trading has continued positively in the period under review, building on the strong performance delivered by the Group in the first half.

The company expects to be significantly ahead of market expectations for the 15 month period ending 31 December 2011.

The Group announced back in October that it had won contracts with six established brands and one exciting new digital brand within the insurance, telecoms and utilities sectors, including for the first time, solar energy; and that revenues for 2011 were expected to be ahead of market expectations.

Since then, the Group has won further major contracts with established brands within the telecoms, utilities, on-line education and insurance sectors for both its technology enabled business process outsourcing division and software solutions division.

In aggregate, these contract wins could contribute over £6 million of annualised revenues. In addition, the Group has acquired two further businesses, Maine Finance and, most recently, Mobile Doctors Group Plc.

Margin performance has also been strong and, for 2011, margins are expected to be between 35 and 40 per cent. within its technology enabled business process outsourcing operations

Techmarket View

Quindell buys 'Big Brother' SaaS business
John O'Brien, 09:13, 3rd May 2013

Quindell Portfolio’s insatiable appetite for M&A continues. This time it is increasing its shareholding in property claims SaaS provider 360GlobalNet Limited (360) from 19% to 60%, as well as acquiring unnamed ‘associated companies’.

Quindell is paying the equivalent of £11.5m in shares for the additional 41% stake. The shares are being issued in tranches, depending on 360 achieving targets for £2m of profit in 2013, and at least £10m PBT in 2014 and 2015. Quindell was a founding investor in 360, and in April 2012 increased its ownership from 3% to 19% for £2.15m. 360’s value to Quindell has increased significantly between then and now – with the busines now being valued at £28m vs. c£15m last April.

According to its very sparse website (see here) 360 has developed a system that uses video acquisition, unmanned aerial vehicles, van mounted telescopic mast systems, as well as crowd-sourcing and data and analytics. Quindell says 360's focus is on fraud prevention, compliance monitoring and ‘managed crowd sourcing’. The company has apparently already conducted a pilot with a major listed insurer to save 30% of its property claims costs. To us the approach sounds very ‘Big Brother’, and we wonder whether this is really something that could achieve mass market appeal.

Quindell yesterday announced a deal with the one of the UK's largest accident management companies, to deliver over 1,000 injury claims per month. Quindell is being engaged on a 6 month rolling contract. The pilot already achieves annual revenue run rate of £36m. But the contract shows the risks inherent in Quindell’s business model. It needs to prove the value of its offering quickly and continuously, in order to retain these sorts of client relationships.

Preliminary Results

FINANCIAL HIGHLIGHTS:


· REVENUE increased by 904% to £137.6 million (2011: £13.7 million)
· GROSS SALES (including legal services) increased by 1,154% to £171.9 million (2011: £13.7 million)
· ADJUSTED EBITDA (1)
o EBITDA increased by 681% to £52.2 million (2011: £6.7 million)
o EBITDA margin of 38% (2011: 49%) of Revenue
o EBITDA margin of 30% (2011: 49%) of Gross Sales
· PROFIT BEFORE TAX
o Profit Before Tax increased by 915% to £41.2 million (2011: £4.1 million)
o Adjusted Profit Before Tax (2) increased by 680% to £49.2 million (2011: £6.3 million)
· EARNINGS PER SHARE
o Adjusted Basic EPS (3) of 1.40 pence, an increase of 92% (2011: 0.73 pence)
o Basic EPS of 1.17 pence, an increase of 148% (2011: 0.47 pence)
· ADJUSTED OPERATING CASH INFLOW (4) of £38.8 million (2011: £5.5 million)
· OPERATING CASH FLOW of £34.1 million (2011: £4.4 million)
· UNDERLYING EBITDA to CASH CONVERSION of 74% DURING SIGNIFICANT GROWTH PHASE
· CASH increased during the period by £43.5 million to £47.2 million
· NET FUNDS of £16.6 million at year end


OPERATING HIGHLIGHTS:

STRATEGY
· FOCUS ON ORGANIC GROWTH AND EARNINGS ENHANCING ACQUISITIONS
· THREE MATERIAL ACQUISITION GROUPS: Legal, Health and Claims with ALL CORE FUNCTIONS INTEGRATED
· INTEGRATED MANAGEMENT TEAM IN PLACE two divisional CEO's, Group COO and Group CFO
· PROVEN RECORD IN EARNING ENHANCING ACQUISITIONS supported by Advisory Board
· FURTHER EARNING ENHANCING VERTICAL INTEGRATION OPPORTUNITIES STILL EXIST IN 2013
SERVICES
· TECHNOLOGY ENABLED OUTSOURCING increased 1,449% to £107.5 million (2011: £6.9 million)
· COMBINED SERVICES OFFERING continues to DRIVE NEW BUSINESS SUCCESS with 100% conversion
· SIGNIFICANT GROWTH opportunities still AVAILABLE DUE TO UNIQUE OFFERINGS AND REGULATORY CHANGE
· ALL NEW SERVICE BUSINESS DELIVERED ON OUR OWN SINGLE TECHNOLOGY ENABLED PLATFORM
SOLUTIONS
· SOFTWARE & CONSULTANCY increased 344% to £30.1 million (2011: £6.8 million)
· RECOGNISED AS JOINT MARKET LEADER FOR EUROPEAN CLAIMS DEALS BY CELENT
· NOW believed to be CLEAR MARKET LEADER FOR EUROPEAN CLAIMS TECHNOLOGY BY SUBSTANTIAL MARGIN
FUNDING
· BLOCK SETTLEMENT OF CLAIMS DEBT reduces debtors BY OVER £11 million with NO NET WRITEDOWN
· OVER £40 MILLION OF CLAIMS DEBT PROVIDES OPPORTUNITY FOR BLOCK SETTLEMENT IN 2013
· EXTREMELY STRONG BANKING RELATIONSHIPS with core FACILITIES RENEWED FOR TWO YEARS
· WORKING CAPITAL TO SUPPORT ADDITIONAL SIGNIFICANT ORGANIC GROWTH
OUTLOOK
· QUARTER ONE 2013 DELIVERS OVER £25 million ADJUSTED EBITDA up 10% on quarter four 2012
· RECENT MAJOR WINS RAC, LEADING BROKER, LARGEST DIRECT INSURER, MAJOR ACCIDENT MANAGER
· MAJOR WINS underpin potential for £100s of millions of ORGANIC REVENUE GROWTH
· RECENT ENTRY INTO PROPERTY CLAIMS AND NORTH AMERICA ACCELERATING ORGANIC GROWTH

sp still hanging around.,.

sp finishes at 12p after results, the market seems to have a credibility problem?

Ooops!

wheres this going? lot of buying now but is it going to stay at this level...... ho hum.,.

ouch!!!!!!!!!!!

Perhaps growing to fast?

What is going on? I cannot find a reason for this drop.

The thread over the road is worth a laugh look!

How do I look at that thread?

If you are registered, then here - a bit of a classroom!

Thanks skinny. Should level at 6p they reacon.

I wouldn't base any investment strategy on what you read on any BB - bwtfdik.

In auction again btw!

Are Market Makers playing games with this stock..?

Don't see any reason for the drop, even though Buys are far greater than sells.

There I was cursing my luck having sold out @ recent low of 10.78p only to see them go to around 14p, doesn't look so bad now, maybe time to buy in again.
2517

company expanding very fast, too many shares issued (over 3 billion) consolidation possibly coming?

Back in @ 7.9p, halifax I think you'll find there are over 4 billion shares in issue. Reminds me albeit on a much smaller scale, of Vodafone years ago where they kept issueing shares to acquire companies. Mind you the sp back then was around the 350-375p mark.

I bought another half a crowns worth @7.199 - makes my holding worth @4/-