Business
Half Year Results
Half Year Results.
About this update from Burford Capital Limited
[{"type":"text","content":"\n \nRNS Number : 7948Q Burford Capital 04 September 2014 \n\n4 September 2014\n \n \nBURFORD CAPITAL POSTS 89% PROFIT INCREASE IN HALF YEAR 2014 RESULTS\n \nStrong returns and move to semi-annual dividend\n \nBurford Capital Limited (\"Burford\" or \"the Company\"), the world's largest provider of investment capital and risk solutions for litigation, announces its financial results for the half year ended 30 June 2014.\n \n· An 89% increase in Burford's profit before tax for the period to $18.2 million (June 2013: $9.7 million)*\n \n· Burford's income for the six months was $27.4 million, a 40% increase on the prior year (June 2013: $19.5 million). The increase reflects: \n- an 85% increase in income from the litigation portfolio amid continuing increases in activity levels; \n- UK insurance income steady at $10.2 million (June 2013: $10.2 million) \n \n· Continued strong investment returns: Since inception, 26 investments have generated $174 million in gross investment recoveries and $67 million net of invested capital, producing a 63% net return on invested capital. This represents a 67% increase, $27 million, over the net position at 30 June 2013**\n \n· Material increase in cash generation: Burford generated $42 million of cash from the investment portfolio in the period, an increase of 93% over the comparable 2013 period\n \n· Ongoing demand for Burford's capital reflected in $62 million of new capital committed in the period, a five-fold increase over the comparable 2013 period\n \n· Completion of a successful issue of retail bonds on the main market of the London Stock Exchange post period end, raising $150 million (£90 million) of capital which will be deployed in litigation finance activities\n \n· Introduction of a semi-annual dividend, with an interim dividend of 1.74¢ to be paid in December 2014***\n \n* Excluding the accounting impact of the Burford UK acquisition, the 2012 Reorganisation and 2013 UK Restructuring costs\n** Investment recoveries is a non-IFRS term defined in footnotes 2 ...