International business boost for HomeServe
WALSALL home emergency business HomeServe suggests it is making good progress after a difficult period for the group.
Marketing and sales activity was suspended late last year following a mis-selling scandal. Hundreds of jobs were slashed and the affair cost HomeServe an estimated £24m.
But while it is now undergoing a Financial Services Authority investigation, the firm says it is trading strongly, especially in overseas markets.
In an interim management statement covering the period April 1 to July 20, HomeServe said it continues to grow its international businesses and in the UK is making progress in simplifying and refocusing the business.
“We are making progress in simplifying and refocusing the business and remain on track to achieve our full year customer number and retention targets. Our affinity partners remain supportive and we are continuing to implement our marketing plans as well as reviewing and developing new customer propositions which we will be testing through the second half of the year,” it said.
“Our established international businesses in the US, France and Spain continue to grow their customer and policy numbers.
“Our USA business has expanded its marketing activity, with new campaigns started with EPCOR and Water One. We have also increased our number of marketable households with the signing of an affinity partner agreement with Alameda County Water District, a municipal water utility, which serves 80,000 households in California.
“Retention in our USA business remains high with the rate at the end of June remaining in line with 31 March 2012.”
Earlier this week, following press speculation, HomeServe issued a statement to say that it was not in talks with a potential buyer of the business.
