Quindell share price rises on third quarter revenue increase

 
Lynsey Barber
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Quindell share price rises on third quarter revenues (Source: Getty)

Quindell revenue soared 115 per cent in the third quarter to nearly £200m, sending its share price up almost six per cent when markets opened this morning.

It’s another boost for the Aim-listed firm in the face of detractors and short sellers and after having to issue a statement saying it knew of no reason for a drop in share price last month.

It also won a default judgement in its libel case against Gotham City Research, the organisation whose scathing report wiped £1bn from Quindell's market value.

The strong performance was largely driven by the professional services side of the business which increased sales by 124 per cent to £177m, while its digital solutions sales grew 20 per cent to £23m.

Adjusted Ebitda increased 141 per cent to £83m and the insurance outsourcing firm upped earnings per share by 54 per cent to 15 pence per share.

Quindell chairman Robert Terry reaffirmed its full-year expectations.

"The Board is pleased to announce another successive quarter meeting or exceeding market expectations in all key performance indicators including over £9m of operating cash inflow when the market expected breakeven," he said.

"Taking in to consideration that volumes are subject to roll out, execution and industry claims frequencies, the Board is confident that the upper end of market expectations can be achieved for the full year for 2014 on Revenues of between £750 to £800 million by repeating the same run rate performance delivered by the business in Q3 and taking into consideration seasonal fluctuations in Q4."

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