XPS Pensions Group (XPS) Trading Update summary

Trading performance

• Revenue from continuing operations grew 23% year on year for the six months ended 30 September 2024.

• Advisory revenue increased 14% year on year, with Pensions Actuarial Consulting up 17%.

• Pensions Administration revenue rose 40% year on year, driven by project work and new client onboarding.

• SIP business achieved 13% revenue growth, supported by increased sales and client deposits.

• Group revenue, including the sold National Pension Trust, grew 19% year on year.

Operational highlights

• Transition of clients to the proprietary Aurora administration platform is ongoing, expected to enhance operational leverage.

• GMP equalisation work continues to underpin demand in both Actuarial Consulting and Administration.

• Regulatory changes, including a new funding regime for defined benefit schemes, are supporting client demand.

• "Run on for surplus" strategies are gaining traction among larger pension schemes.

• High demand for project work persists in both private and public sectors.

Outlook and board commentary

• Board expresses confidence in achieving full-year results ahead of previous expectations.

• Growth attributed to high client demand and investments in risk transfer advisory and public sector administration.

• Like-for-like growth of over 20% achieved on top of strong prior years.

• Award-winning culture and staff contributions highlighted as key to success.