Fairpoint back in the black
DEBT management group Fairpoint has moved back into the black after an overhaul of the business.
The Chorley-based group, which formerly traded as Debt Free Direct, said in the year to December 2008, it made a pre-tax profit of £500,000. This compared to a loss for the eight months to December 2007 of £1.1m.
Turnover rose from £19.8m to £26.4m, while net borrowing fell from £8.6m in December to £7.8.m at the end of last month.
The group said following the appointment of a new management team, including chief executive Chris Moat, the restructure of its operations which has seen its debt management business brought in-house and cost efficiencies that have reduced IVA fee levels by 19%, Fairpoint has turnaround its fortunes.
It added that the group has a strong pipeline of new business and consumer demand for its services is increasing as the recession deepens.
Mr Moat said: “I am pleased to report that all of the key targets set out for the second half of the year have been met. The full year results highlight our significant progress in improving underlying profitability and reducing net borrowings.
“As we enter 2009 management are confident that we can continue to grow revenues, reduce borrowings and widen our range of financial services as the business fundamentals are strong. The group is well positioned to satisfy the increasing demand for consumer debt solutions this year.”
