Claims service provider Stream Group says its turnaround is progressing as planned following a positive first three months of the financial year.

It says net revenue for the quarter was $10.1 million, while earnings before interest, tax, depreciation and amortisation of negative-$460,000 compare well with previous years.

Australian operations are highly seasonal and usually make a first-half loss, but New Zealand continues to be profitable and UK operations are showing strong claims growth.

“If it is a normal 12 months in terms of storms, then we are expecting to be profitable for the year,” Chairman Larry Case told insuranceNEWS.com.au.

“It is a turnaround story and, although we still have work to do, we are on track.”

Stream made a net loss of $12.8 million last financial year as bad investments took their toll.

The acquisitions of loss adjuster Cerno and Melbourne Technology Group, operating as National Insurance Replacement Services, were responsible for the bulk of the deficit.