Trading Statement

26 Apr 2006 07:01

Tribal Group PLC26 April 2006 Tribal Group plc ("Tribal Group" or the "group") TRADING UPDATE STATEMENT Tribal Group, the leading UK consultancy, professional support services andhealthcare delivery company, issues this statement as an update on tradingduring the year ended 31 March 2006. The Group's preliminary results will beannounced on 20 June 2006. The board is pleased with the trading performance of the Group in the finalquarter and expects adjusted profit before tax and eps for the year to be inline with market forecasts. Gross revenue exceeded £214m, with underlyingorganic revenue growth of 18%. Cash generation in the second half was excellent and net debt at the year endwas approximately £78m including £20.5m drawn down under the non-recourseMercury Health project finance facility. Operating profit to cash conversion waswell over 90%. During the year, there have been very strong performances from our newly mergededucation and technology division and from our communications division. A more difficult healthcare market has impacted margins in our resourcingdivision, where, as previously anticipated, there has been a significantreduction in recruitment advertising revenue, and in our property division,where there has been revenue slippage in healthcare PFI. There has been strongrevenue growth in our consulting division, particularly in central government,although margins have been affected by the tightening NHS market. Tribal's healthcare delivery business, Mercury Health, has performed strongly.It has now opened its first three treatment centres on time and to budget. Itsfourth, and largest, centre in Mid-Sussex will be fully operational from July,as planned. We are currently short-listed on a number of diagnostic and electivesurgery contracts as part of the Phase 2 procurement programme. With committed income for the current year at a record level of £128m, the boardis increasingly confident about the Group's prospects in the current year andbeyond. End For further information contact: Henry Pitman, Chief Executive, Tribal Group plc Tel: 01285 886020Simon Lawton, Group Finance Director, Tribal Group plc Tel: 01285 886020 Neil Bennett, Maitland Tel: 020 7379 5151Colin Browne, Maitland Tel: 020 7379 5151 A presentation will be made to Analysts and Investors at 9am on 26 April 2006and a copy of this will be made available on the Tribal Group's website. Editors' note: Tribal Group plc provides a range of consultancy and support services to the UKpublic sector and healthcare services for the NHS. The Group's core markets arein education; local government, housing and regeneration; health and socialcare; and central government. The group employs 2,300 staff in the UK. Tribal isquoted on the London Stock Exchange (TRB.L). Links: Tribal Group plc website: www.tribalgroup.co.uk This information is provided by RNS The company news service from the London Stock Exchange