Chester ID specialist GB Group considering acquisitions
GB GROUP, the Chester-based identity management specialist, is considering acquisitions as part of a growth strategy after its listing on the alternative investment market (AIM).
In a trading update today the group said it was “investigating selective earnings enhancing acquisitions” and confirmed that its full year results are expected to match forecasts.
Total revenues during the nine months to December 31 have increased by 13% to £17.7m and the operating profit for the same period soared 120% to £1.21m after the good performance GB reported at its half year continued into the third quarter.
The group’s cash balance has also improved, rising 22% to £5m.
GB comprises two elements: DataSolutions, specialising in identity-based marketing services and; DataAuthentication, which provides identity verification systems.
DataSolutions reported a 20% improvement in revenues for the nine month period, up to £10.1m.
It offers clients an ID customer registration product, ID marketing services to enable clients to analyse, target and retain their customers, and an ID tracing service which uses UK population and property data.
Today’s statement said: “We are pleased to note that growth has been seen across all of these areas of DataSolutions operations.”
The DataAuthentication arm achieved a 3% increase in revenues, to £7.6m, based on increased activity over the past three months to target new clients for two new services.
Citizensafe is an ID verification service for citizens allowing them to register just once for local authority services, while LiteIDV is an ID verification system aimed at the retail and utilities sectors.
New clients include ESRI UK, Pure Holiday Homes and a strategic alliance with international services provider Serco and global IT corporation Microsoft.
GB said today: “We have been encouraged by our performance in the third quarter and our growth rates exhibited in the year-to-date and consequently anticipate that our full year results will be in line with current market expectations.”
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