Investors
XPS Pensions Group is a leading pensions consulting and administration business focused on UK pension schemes.
We are a forward-looking, ambitious business providing the best place for people to work and the best partner for our clients. Our objective is to be the pre-eminent UK focussed pensions consulting and administration firm.
Diversified and stable client base
We have long-standing relationships with a large and diverse client base, consisting of over 1,500 clients. We have a strong brand and have won multiple industry awards for our client service.
1,500+
clients
Top ten clients represent
18% of revenue
Well positioned in a sustainable market with favourable market trends and a strong competitive position
There are c.£1.5 trillion of liabilities of private UK defined benefit pension schemes and a rapidly growing defined contribution market. Regulatory developments are driving increased client activity and demand for our services.
>£2bn
size of annual fee market
Long-dated liabilities in UK
defined benefit schemes
Track record of positive financial performance and dividend yield
XPS has delivered year on year revenue growth, through a range of macroeconomic conditions, since listing on the London Stock Exchange.
23%
revenue CAGR
since listing in 2017
Trusted expertise and highly engaged colleagues
The outstanding expertise and client service focus of our colleagues is widely relied upon and highly valued by our clients. We have high client satisfaction scores and our people think XPS is a great place to work.
98%
of our people
think XPS is a great
place to work
Non-cyclical and recurring revenues with inflation linkage
Our services are typically provided on the basis of an open-ended engagement with clients, have inflation linkage, and are compliance driven to a statutory timetable. They are therefore required in all parts of the economic cycle. We have a high degree of visibility of our revenue.
>90%
repeat recurring revenue
across the business
Opportunities for earnings enhancing M&A and scale up
We have a proven track record of successful earnings enhancing M&A which demonstrates our ability to execute deals that are aligned to our corporate strategy.
6
acquisitions
since listing in 2017
Strong cash conversion and growing dividends
The Group has a robust balance sheet and consistently high cash conversion and has continued to pay two-thirds of adjusted profit in dividends each year since listing.
99%
adjusted operating
cash conversion
Five years in review since we first listed on the London Stock Exchange.
Financial highlights
Revenue
Adjusted EBITDA1
Adjusted diluted earnings per share2
FTE employees3
Proposed full year dividend
Net debt4
Profit before tax
Basic EPS
- Adjusted EBITDA excludes the impact of share-based payment costs, fair value adjustments of contingent consideration, and exceptional costs.
- Adjusted diluted earnings per share from continuing operations. It is based on adjusted profit after tax, which excludes the impact of amortisation of intangible assets, share-based payment costs, fair value adjustment of contingent consideration, exceptional costs, and the tax impact of these items. See Note 6 in the financial statements.
- As at year end.
- Excluding lease liabilities.
Five year summary
| 2019 | 2020 | 2021 | 20227 | 2023 | Growth % | |
|---|---|---|---|---|---|---|
| Revenue | ||||||
| Pensions Actuarial & Consulting | 56.8 | 58.8 | 60.7 | 62.2 | 77.4 | 36% |
| Pensions Investment | 8.1 | 9.6 | 11.6 | 13.7 | 18.0 | 122% |
| Pensions Advisory | 64.9 | 68.4 | 72.3 | 75.9 | 95.4 | 47% |
| Pensions Administration | 37.5 | 42.9 | 46.8 | 52.3 | 57.5 | 53% |
| SIP | 6.1 | 6.1 | 5.6 | 6.1 | 9.4 | 54% |
| NPT | 1.4 | 2.4 | 3.2 | 4.3 | 4.3 | 207% |
| Total revenue | 109.9 | 119.8 | 127.9 | 138.6 | 166.6 | 52% |
| Adjusted EBITDA1 | 29.9 | 30.4 | 32.0 | 34.1 | 42.4 | 42% |
| Profit before tax2 | 11.2 | 11.1 | 11.4 | 16.9 | 19.1 | 71% |
| Adjusted diluted EPS (pence per share)3 | 9.6 | 9.6 | 9.8 | 10.2 | 12.6 | 31% |
| Basic EPS (pence per share)4 | 4.9 | 3.4 | 4.4 | 4.6 | 7.7 | 57% |
| Full year dividend (pence) | 6.6 | 6.6 | 6.7 | 7.2 | 8.4 | 27% |
| Net debt5 | 51.7 | 56.1 | 50.4 | 54.6 | 55.3 | 7% |
| FTE Employees6 | 1,111 | 1,203 | 1,325 | 1,442 | 1,574 | 42% |
All figures in millions of £'s unless otherwise stated
- Adjusted EBITDA excludes the impact of share-based payment costs, fair value adjustments of contingent consideration, and exceptional costs. From continuing operations.
- Profit before tax is adjusted in FY18-20 for the impact of IFRS16
- Adjusted diluted earnings per share from continuing operations. It is based on adjusted profit after tax, which excludes the impact of amortisation of intangible assets, share-based payment costs, fair value adjustment of contingent consideration, exceptional costs, and the tax impact of these items. Adjusted in FY18-FY20 for the estimated impact of IFRS16
- Basic earnings per share is adjusted in FY18-FY20 for the estimated impact of IFRS16
- Net debt excludes lease liabilities
- As at year end.
- Pensions Actuarial & Consulting and Pensions Administration.
Investor calendar
|
20 June 2024 Full year results announcement |
Shareholder information
Key information for shareholders such as contact details, AGM documents, analyst consensus and our investor calendar.
Corporate governance
At XPS we are committed to operating with good corporate governance and in compliance with the UK Corporate Governance Code 2018.