HRG dividend up as profits rise

Hogg Robinson Group has reported rising revenues and profit and says it has a ‘strong pipeline of new business opportunities’.

For the year to end-March 2012, revenue was 5% higher at £374m and underlying profit before tax up 16% at £38.2m.

The travel management company has recommended its full-year dividend rises 33% to 2p per share.

David Radcliffe, chief executive, said: ‘I am happy to report another strong set of results for HRG despite the continuing challenging economic conditions.

‘Since the year-end, the group has continued to trade in line with our expectations and we are confident that our proven strategy, resilient business model, robust financial position and strong pipeline of new business opportunities will enable HRG to continue to make good progress in the year ahead.

‘In recognition of our strong performance and confidence we have recommended a 33% increase in the dividend.’

HRG said its client travel transaction activity was up 2% with spending up 5%.

Important new client additions during the year include AIG, Allianz, CGI, Monitor and Posten Norge and it has a ‘strong pipeline of opportunities’ across multiple client sectors.

To see the results statement from HRG, click here.