JRP Group feeling positive off the back of last set of pre-merger results, even though they revealed a dip in total new business sales

 
Hayley Kirton
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The merger completed earlier this year but after the period covered in this statement (Source: Getty)

JRP Group has today revealed its final set of quarterly results relating to before its merger, in which the group chief executive revealed that he felt "positive about the future".

JRP Group was formed when Just Retirement completed its merger with Partnership Assurance Group earlier this year but after the period being reported on today.

Total new business for the two companies combined dipped slightly in the three months to March 2016, dropping four per cent to £387.2m from £401.6m.

Meanwhile, Just Retirement as standalone saw its total new business sales drop to £226.7m for the three-month period, down 18 per cent from £276.1m, although the company also noted that it had preempted a quiet period.

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On the Partnership side of the business, total new business sales grew to £160.5m, up 28 per cent compared with £125.5m.

"I remain positive about the future, and we reiterate the outlook comments we made at our recent interim results," said Rodney Cook, group chief executive of JRP Group. "The long term future for the defined benefit derisking market looks buoyant, while the improving trend in the individual guaranteed income for life market appears to be continuing.

"Our focus remains very clear: we will continue to deliver on business as usual, while executing the merger cost synergies of at least £40m. Now the merger is effective we can offer even better value to customers, investors and business partners, and I look forward to demonstrating our potential as JRP."

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The market, however, did not reflect Cook's positive views. At time of writing, shares were down 0.4 per cent at 137.6p.

While not questioning the opportunities in the company's sector, analysts at RBC Capital Markets questioned whether JRP Group would be able to tap into the funds to take advantage of these.

Meanwhile, analysts at Shore Capital concluded that "the prospects for the merged group remain significant".

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