Inspired PLC (AIM:INSE) saw a record year for new business in 2022 as the energy crisis prompted a surge in inquiries from businesses looking to mitigate soaring bills.
Mark Dickinson, chief executive, said it had been the most challenging year ever seen in the UK energy markets, “when the need for our services has never been more apparent”.
Revenues at the energy consultant jumped by 31% to £88.8mln, though overheads also went up to deal with the demand and coupled with one-offs and higher interest payments, the AIM-listed group posted a £4mln loss (£1.1mln profit).
Underlying profits [adjusted EBITDA] rose 6% to £21mln, with cash produced by the business almost doubling to £21.7mln though this was offset by performance payments on recent acquisitions.
Inspired added its energy division revenues jumped by 64% to £47.7mln, but this was dwarfed by growth in its ESG arm, which leapt 167% albeit from a much smaller base.
This year, 2023, has started with “considerable momentum” Inspired said, reiterating its forecast of double-digit growth in underlying earnings.
“The unprecedented conditions in the UK energy markets, which we believe have started a transition to a 'new normal', have sharpened our clients' focus on ensuring they have invested effectively in carbon and energy reduction," Dickinson added.
"The energy crisis has accelerated the focus on ESG objectives as a key priority at board level across our client base and our evolving strategy is well aligned to meet the resulting market demands and requirements.
"Whilst mindful of the current backdrop, the long-term opportunities for the group are clear and we have entered FY23 in a robust position, building on momentum from the prior year.
"We have a substantial addressable market, high-profile clients, and a record new business pipeline."
The 2022 dividend rises by 8% to 0.27p.