Pacifica Group is on course to deliver continued growth after maintaining strong levels of activity in its latest financial year, which produced increased turnover despite revenues being severely impacted in the first six months due to the COVID-19 pandemic.

In its preliminary results for the 2020/21 financial year, which began at the height of the pandemic, the County Durham-based company has reported turnover of £52 million, a small increase on the previous year where it achieved sales of £51.2m.

As an indication of the group’s improving financial performance in the second half of the year, as national lockdowns were replaced by tiered restrictions, it achieved monthly turnover of around £5.4m per month, which annualised delivers a run rate of £65m.

Having generated record revenues through the last two quarters of the financial year, which has continued into the 2021/22, with the group expecting to deliver turnover in excess of £72m.

This exceptionally strong sales performance is part of Pacifica Group growing its UK market share and gaining customers from key competitors. The group repairs more than 350,000 home appliances every year and manages more than 320,000 customer warranty policies.

The sales growth has been helped by two strategic acquisitions during the year, Midlands-based DAC Ltd and TK Garnham & Sons in the South East, which have bolstered Pacifica Group’s UK coverage in the home appliance repair markets. Further acquisitions are planned for the 2021/22 financial year, which is being driven by its management team and private equity investors, Synova Capital.

The group’s adjusted EBITDA for the period was £0.6m, a reduction from the 2019/20 financial year, which is attributed to successfully managing the pandemic through increased investment in staff and customer safety.

Throughout 2020/21 financial year Pacifica Group successfully maintained all of its services, including appliance repair and warranty services for major appliance manufacturers, insurers and retailers, as well as domestic heating and renewable energy systems installations and servicing, playing a significant role supporting customers, colleagues, suppliers and clients throughout the pandemic.

Having reacted quickly in the early weeks of the pandemic, Pacifica Group implemented stringent health and hygiene protocols, which enabled it to continue in-home activity and maintain its comprehensive support services through a blend of home and socially distanced office working.

As a result, the group achieved the highest Trustpilot rating in the sector and strengthening its relationships with blue chip customers such as Electrolux, Sony, Hisense, Vestel, Howdens (Lamona) and LG along with major retailers, such as Argos and Shop Direct and insurance providers to provide repair and maintenance services across the UK.

Pacifica Group’s performance, which generated additional demand for its services, led to the recruitment of 100 new colleagues during the financial year and it has continued to invest in its engineer trainee programme. The group now employs more the 400 engineers, who operate nationwide.

With a pipeline of sales, which exceeds expectation, employment and training of more directly employed engineers will continue in the current financial year.

Pacifica Group’s focus on the appliance repair and warranty sectors will also increase following the disposal of Pacifica Home Services (PHS), through a management buyout with share capital acquired by Viessmann and the existing management team, which took place in January 2022.

Following the disposal, Synova, which has retained ownership of Pacifica Group together with its management team, will continue to support the development of Pacifica Group and the delivery of its growth strategy.

Kevin Brown, chief executive of Pacifica Group, said: “Pacifica hasshownincrediblestrengthandagilitythroughoutthepandemic.Byputtingourcustomersandcolleaguesfirstwehavebuiltastrongerbusiness.I’dliketosayahugethankyoutotheentireteamforrisingsoselflesslytoeverychallengethey'vefaced.Their effortshavebeentrulyheroic.

“Although COVID-19 had a significant effect on revenue and profitability across all divisions, as the business took the decision to maintain all services throughout the pandemic, we ensured operational availability to all clients when they were ready to resume activities, which was reflected in the growth of revenues later in the year.

“While the pandemic is not yet over, we're well-placed to build on the momentum in our business. We have strengthened ourbrand and increased the number of clients utilising services, while improving customer satisfaction.

“As a group, we have a strategic focus on both appliance repair and extended warranty services, which reduces overall risk and exposure to individual income streams. We have stepped into our next financial year in a strong position, with our positive outlook already being reflected in performance.”

ENDS

NEWS RELEASE: ISSUED ON BEHALF OF PACIFICA GROUP

For further information contact Jamie Collis 01325 363436

Editors’ Notes:

Pacifica Group is one of the UK’s largest providers of domestic appliance repair and maintenance, and product warranty solutions. It undertakes in excess of 320,000 repairs every year.

www.pacificagroup.co.uk