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Business Description: Slater & Gordon Limited (SGH) is an Australian law firm specialising in insurance claims, commercial, family and asbestos-related law. SGH also provide advice to organisations involved in commercial or business disputes. SGH operates core business with 69 offices throughout Australia and across 10 locations in the UK. SGH now includes five brands in total: Slater & Gordon (national), Trilby Misso Lawyers and Conveyancing Works (Queensland), Russell Jones & Walker and Claims Direct (UK).
Strategy Analysis: SGH's strategy is to continue to lead the consolidation of the national personal injuries litigation market, to extend the geographical reach of the business, to expand the range of services we offer clients and to continue to build the Slater & Gordon brand. SGH is pursuing an ongoing acquisition program and the acceleration of the organic growth of the business through advertising and other national brand building initiatives. This will lead to expansion into new and emerging geographical markets. The Company will also continue to pursue opportunities to increase its presence in practice areas outside the personal injuries sector. SGH is also seeking to benefit from system and process efficiencies to support the growing business.
Slater & Gordon reported NPAT up 61.29% to $19.08m for the half-year ended 31 December 2012. Revenue from ordinary activities were $145.69m, up 46.47% from last year. Diluted EPS was 11 cents compared to 7.6 cents last year. Net operating cash flow was $17.49m compared to $4.09m last year. The interim dividend declared was 2.75 cents, compared with 2.5 cents last year.
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