Arista’s EBITDA grows 28% in third profitable year

Commercial managing general agency Arista reported earnings before interest, tax, depreciation and amortisation (EBITDA) of £1.7m in 2012, up 28% on 2011’s £1.3m.

The profit boost was driven by a 9.4% increase in gross written premium (GWP) to  £81m (2011: £74m) and a 9% rise in turnover to £12m (2011: 11m).

The company also trimmed expenses to 12.4% of GWP from 13%.

The results mark Arista’s third consecutive year in profit.

Arista chief executive Charles Earle (pictured) said: “The results achieved in 2012 reflect the hard work and dedication of Arista staff. The overall performance has resulted in Arista growing by 8%, and marginally exceeding our targets for the year.

“These efforts by our regional underwriting teams, supported by those at the centre of our operations, have delivered great service to brokers who have in turn continued to show support for Arista by placing more business with us.

“This shows our strategy of putting decision-making underwriters on brokers’ doorsteps is proving successful and plans are in place to drive the business and this strategy forward even further.”

Earle said Arista has “stretching goals” for 2013 and 2014 but added that the company remains “agile and able to react to insurance and economic market conditions”.

He said: “Arista underwriters have exercised discipline and control in the challenging conditions that persisted in 2012, and will continue to do so as we build an underwriting service business for the future.”