CPP Group Plc today reports increased operating and pre-tax profits in its 2019 full year results.
The Group’s operating profit increased to £1.6 million (2018: £0.2 million loss) with pre-tax profit improving to £1.1 million from £0.3 million in 2018.
Revenue also increased, by 26% to £138.4 million (2018: £110.1 million) and it passed the 10 million customers worldwide milestone, more than doubling in size since 2016. Overall revenue from Ongoing Operations increased by 37% to £121.0 million, up from £88.0 million in 2018.
The performance gives the Group a strong platform to withstand tougher trading conditions during 2020 created by the coronavirus outbreak.
Its core product range continues to offer consumers peace of mind during uncertain times, protecting them from unexpected expenditures and risk, as well as driving continued commercial benefits for the Group.
In addition, new business growth will build on anticipated increased consumer appetite for life assistance products and services, especially in the health and travel sectors, and growing demand for the certainty provided by parametric insurance.
During 2019, strategic growth markets including India, Turkey, China, the UK and Blink, the Group’s InsurTech company, contributed to CPP’s number of business partners increasing by 50%.
Continued success in India helped to drive Group revenues, increasing by 53% to £99.6 million following the launch of a new health and wellness product and partnerships with major brands including Tata Capital Financial Services and American Express. Meanwhile Globiva continued to outperform expectations as one of India’s fastest growing business process management providers.
CPP Turkey successfully expanded its relationship with Denizbank whilst introducing new products to market and CPP China’s deal with banking giant Bank of Communications has attracted over 130,000 new customers since launching.
Blink, with its pioneering parametric insurance platform, secured global partnerships with some of the world’s largest insurers and reinsurers, such as Blue Cross, Manulife and TuGo, in addition to being listed amongst the 2019 INSURTECH100.
Jason Walsh, Chief Executive at CPP Group, said:
“I am very pleased to report 2019 was another positive year for the Group. We successfully continued our transformation to becoming a truly global business as international revenues increased rapidly, with the strong performance in 2018 being surpassed in 2019.
“Like all companies, we are taking steps to manage the challenges posed by the coronavirus outbreak, including limiting expenditure and working closely with partners to maintain our long-term growth strategy.
“As a multinational operation built on expert local knowledge, we’re attuned to adapting and providing great services for partners and customers whatever the circumstances.
“We are also adept at innovating to meet changing requirements. For example, our operations in China are moving at pace towards delivery of new travel and health-based products for their market just weeks after coming out of lockdown.
“We will draw on these kinds of experiences, the talent of our people and robust financial position to respond to new expectations and opportunities.”