Shares digital

Jelf (JLF:AIM) – Finals PTP: £2.52m (£2.07m) Divi: n/a (n/a)

Turnover at the insurance, health care and employee benefits broker increased by 62% to £40.6 million, helped by the nine acquisitions made in the year to the end of September. Organic sales growth was 16% thanks to increased cross-selling of services. EBITDA was more than doubled to £7.2 million, and EPS jumped 45% to 17p.

Taxable profits were £2.52 million, 21% up on last year, despite a big acquisition-related amortisation charge. Chief executive Alex Alway shrugs off worries that prices for small insurance broking business have stretched too far. Jelf announced three more acquisitions made after the year end and placed £45 million to fund acquisitions going forward, with the backing of listed private equity group 3i (III).

Shares says: Positive results and outlook, a 2008 PE of less than 12 is compelling.

by:Carlo Svaluto