A former claims management company says it is looking to a bright future having completed its transformation into an integrated law firm.
NAHL continues to distribute new enquiries to panel firms but has reported a 92% increase in claims settled in the group’s own firm National Accident Law (NAL).
The company reported in a trading update to the London Stock Exchange that profits and revenue were largely flat for the full-year 2023, but that there are signs that the business has completed its transition period and is ready to report improved numbers.
Turnover last year was up 2% to £42.2m, while profit before tax was unchanged at £600,000. Operating profit fell to £4.1m, but NAHL said that this reflected the investment in scaling up the law firm business and that profit was ‘in line with market expectations’.
The group reduced net debt from the end of 2022 to £9.7m. This was a 27% cut and ahead of expectations, it said.
The greatest challenge would appear to be the issues facing the consumer legal services division, where revenues were down by 2% and operating profit fell by 33%. The company said the personal injury market was still not flourishing but that National Accident Helpline had generated more than 35,000 enquiries in the period – an increase of 2%.
James Saralis, chief executive, said 2023 had represented a year of ‘solid progress’.
‘Whilst the personal injury market remained subdued, we have successfully completed our transformation into an integrated law firm with improved cash generation and NAL increased cash from settlements by 73% to £6m,’ he said.
Shares in NAHL Group plc rose by almost 11% to 67p following the trading update.
