PSC Insurance Group says its UK operations still have “lots of room” to grow in terms of earnings potential after the business there produced a strong first-half result.

The UK division increased its underlying revenue to $63.1 million from $45.1 million a year earlier and reported earnings before interest, tax, depreciation and amortisation (EBITDA) to $19.3 million from $9.8 million.

UK EBITDA improved materially by $8.8 million during the period, with acquisitions contributing $4 million to the growth.

“It’s been a very good six months,” MD Tony Robinson said at last week’s first-half earnings call. “The contribution that we’re getting out of the UK - we think that’s got lots of room to continue to grow.”

Based on the first-half figures, the UK business accounts for 52% of underlying revenue.

PSC last week reported overall first-half underlying EBITDA rose 42% to $40.7 million from a year earlier, underlying net profit after tax before amortisation (NPATA) 61% to $27.6 million and statutory net profit 21% to $16.6 million.

“These are very pleasing results and all areas of the group have performed well,” PSC said. “Insurance prices have remained favourable which, with good client growth count, has led to strong organic growth across all areas.”

The Melbourne-based broking group says the December half demonstrated the “growing strength” of its multi-region business model in the key markets of Australia, the UK as well as New Zealand and Hong Kong.

PSC has now raised its full-year guidance, with underlying EBITDA now projected at $87-92 million from $84-89 million previously and underlying NPATA to $57-61 million from $54-58 million.

“Overall we’re in as good a spot we’ve ever been I think in terms of our strength, the capability of the business and the spread of earnings,” Mr Robinson said.

He says PSC is still on the lookout for potential acquisitions and sees some “great opportunities” possibly in the next 12 months.