JTC delivers 'record new business growth' in H1

Professional services firm JTC said on Friday that it had delivered "record new business growth" in the six months ended 30 June.

JTC reported "a strong performance across the group" and said it had met all of its well-established guidance metrics, with 8-10% net organic revenue growth and an underlying earnings margin of 33-38%.

The FTSE 250-listed group said organic growth was driven by "record new business wins" of £12.6m, up 22% year-on-year, with a new business pipeline at the period end of £52.2m, 15% higher than at the same time a year earlier. It added that its performance in June was "strong", giving "good momentum" going into H2.

In terms of inorganic growth, JTC said the seven businesses acquired by the group in 2021 were all integrating well.

Cash conversion was within its guidance range of 85-90% and as a result, leverage reduced by 0.7x in the period, bringing it well within guidance of 1.5-2.0x underlying EBITDA.

Chief executive Nigel Le Quesne said: "In the first half of 2022 we have built upon the strong performance delivered in 2021. The business continues to demonstrate its resilience and agility during a period of macro uncertainty and our record new business wins reflect our ability to attract new clients and provide additional services to existing clients as they navigate both the threats and opportunities presented by the wider markets.

"All integration programmes for the businesses we acquired in 2021 are on track and we maintain a healthy pipeline of targets in a consolidating sector. We look forward to capitalising on our momentum in the second half of the year and, as always, my thanks go to the outstanding global team of JTC employee-owners, who continue to deliver service excellence for our clients and drive the Group forwards."

Reporting by Iain Gilbert at Sharecast.com