Bristol-based specialist insurer Brightside has signalled further growth as it revealed a 9.3% increase in like-for-like sales to £37.1m during the five months to May 31.
In an upbeat trading statement to shareholders, the firm – which last week parted company with co-founder and chief executive Arron Banks – described its performance during the period as robust while current trading remained in line with market expectations.
Annual policy sales at its online car insurance product eCar grew by 10.4% to 64,419 in what it said remained a highly-competitive market place.
This followed restricted growth in the second half of last year at eCar, which is underwritten by a panel of blue-chip insurers including Aviva, AXA, Groupama, Southern Rock and Ageas, due to a lack of available insurance capacity.
Demand for its premium finance and medical reporting products continued to grow, providing a strong income stream to complement its insurance broking income, it said. It added that deferred interest relating to its premium finance loan book increased by £1m to £4.8m.
In February the firm acquired its head office building – the former motorway services at Aust for £3m – in a deal undertaken due to the attractive yield offered.
Chief executive Martyn Holman, who took over last week immediately following Mr Bank’s departure, said: “Overall trading in the year to date is in line with expectations and the board is optimistic for the remainder of the year.”
Mr Banks has been linked with a possible deal to take Brightside private by buying out its institutional shareholders with the backing of a private equity firm.
Shares in Brightside fell following Mr Bank’s resignation but later recovered.
The firm, formed 11 years ago with two staff, now employs more than 600 people at Aust and a string of call centres.
