Business
AGM Statement and Trading Update
AGM Statement and Trading Update.
About this update from Nahl Group Plc
[{"type":"text","content":"\n\nPrior to publication, the information contained within this announcement was deemed by the Group to constitute inside information for the purposes of the UK Market Abuse Regulations.\n \n27 June 2024\nNAHL Group PLC\n(\"NAHL\", the \"Company\" or the \"Group\")\n \nAGM Statement and Trading Update\n \nNAHL (AIM: NAH), a leading marketing and services business focused on the UK consumer legal market, will hold its Annual General Meeting (\"AGM\") at 10:00am today.\n \nAt the AGM, Tim Aspinall, Chair, will make the following statement:\n \n\"In the five months to 31 May 2024, our law firm, National Accident Law (NAL), has performed well as it continues its development towards maturity, with the expectation that this will ultimately generate higher profits for the Group. NAL settled 19% more claims than in the equivalent period in 2023 and generated £3.3m of cash from settlements, a 56% increase. \n \n\"In National Accident Helpline (NAH), as outlined in the Final Results on 2 May 2024, during Q1 we proactively reduced the number of enquiries that we generated by 30% to match the anticipated reduction in panel demand. This led to lower revenues than anticipated, offset in part by a 45% reduction in marketing spend. This marketing reduction helped to limit the number of enquiries generated and we achieved the anticipated lower enquiry acquisition cost, reflecting our agile operating model.\n \n\"In Q2, NAH experienced a slower return in demand from its panel and consequently made the decision to place more work into Law Together, our joint venture. In addition, Google, completed a significant organic search algorithm change which led to paid search becoming disproportionately expensive. To support our brand and market position, NAH continued to bid for enquiries at an elevated cost, while taking other actions to improve our Google search positioning. This has had the effect of significantly increasing our average enquiry acquisition cost in the short-term and NAH generated approximately 9,700 enquiries in the five months to 31 May 2024, 33% fewer than the equivalent period in 2023.\n \n\"NAH had been forecasting a return to normalised levels of volume, cost and panel demand through June and July, however, recent results and additional external data are suggesting that this recovery wi...