ULS remain positive despite COVID-19 challenges
Despite the impact on conveyancing completions due to COVID-19, ULS Technology expect to announce underlying pre-tax profits for the year ending 31 March 2020 in the region of £4.7m, and to have generated significant levels of operating cashflow.
This is according to ULS’ latest trading update.
ULS stated that it is not possible for them to provide forecasts for the next financial year and beyond thanks to “the uncertainty as to the duration of the restrictions and the speed of the recovery when it comes”.
The ULS board however claimed that the company is “well positioned with a robust balance sheet and significant cash balances”.
In the update, ULS outlined how they will continue to invest in the development of their flagship product DigitalMove to ensure that they remain in a strong position.
The company is expecting to see a sharp fall in revenue and profitability while social distancing measures remain in place.
ULS also predict that remortgaging volumes will hold up much better than transactional volumes, providing some continuity of revenue in the short-term.
Steve Goodall (pictured), chief executive of ULS Technology, said: “I have been delighted by the attitude and application of all our staff as we have transitioned to a home-working environment.
“We continue to work closely with our introducers and conveyancing panel to support them and provide the best service in what will be a difficult period for everyone.
“The company remains in a strong position with a robust balance sheet and we are excited by the significant growth opportunities that we believe DigitalMove will provide.
“Our model is focussed on cash generation, profitability and sustainability and we believe that our long-term prospects remain strong and undiminished.”