14 February 2025

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION

FOR IMMEDIATE RELEASE

XPS Pensions Group plc

Trading update

A strong finish to the year, performance anticipated to be materially ahead of expectations

XPS Pensions Group plc ("XPS" or the "Group") is pleased to provide an unscheduled trading update (unaudited) for the year ending 31 March 2025.

Trading update

The Group has continued to perform strongly, and the Board now expects revenues for the full year to be in the range of £226 million - £229 million, representing YoY growth of 15% - 16%.     

High levels of demand for our services from continued regulatory change, new clients, and the inflation-linkage of our contracts, combined with the resilience and predictability of our business model has driven a strong performance for the year.  Growth drivers in the year include GMP equalisation, rectification projects following the McCloud judgement, and the impact of new business wins in the Risk Transfer market. 

Costs have been managed well, and our investments in technology are enabling increasingly efficient delivery of project work.  As such the Board expects operational gearing to have improved and full year results to be materially ahead of previously upgraded expectations.

Workplace pensions remain high on the agenda with further regulatory changes expected later this year stemming from recent Government announcements. We remain confident that our expectations of continued strong performance in FY 26 and beyond remain well underpinned.

The Group's full year results are expected to be released on 19 June 2025.

Paul Cuff, Co-CEO commented:

"We are pleased to be on course for another year of strong financial performance.  There has been strong demand for our services, as clients have needed support to respond to market and regulatory changes.  At the same time as achieving strong growth, we have been delighted with the results of our annual client survey, which were extremely positive.  At XPS our culture is at the heart of what we do, and I would like to thank all our people for the way they support each other and our clients."

This announcement contains inside information for the purposes of Article 7 of the UK version of Regulation (EU) No 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

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For further information, contact:

Enquiries:

The person responsible for making this announcement is Zoe Adlam (Company Secretary)

Notes to Editors:

XPS Group is a leading UK consulting and administration business specialising in the pensions and insurance sectors. A FTSE 250 company, XPS combines expertise and insight with advanced technology and analytics to address the needs of over 1,400 pension schemes and their sponsoring employers on an ongoing and project basis. We undertake pensions administration for over one million members and provide advisory services to schemes and corporate sponsors in respect of schemes of all sizes, including 83 with assets over £1bn. We also provide wider ranging support to insurance companies in the life and bulk annuities sector.