Energy comparison site to ‘double annual profit’ by 2021

A utility price comparison service says it expects to quadruple its customer base and double annual profit by 2021, based on current growth.

Love Energy Savings, which launched in 2007, predicts it will serve 160,000 clients within the next three years.

Turnover at the Bolton-based business, which employs 300 people, reached £6 million in 2015, with £400,000 of profit.

By the end of this year founder Phil Foster expects annual turnover to have topped £25 million, signalling a profit of £4.5 million, from a customer base of 45,000.

Foster said: “Love Energy Savings is at the forefront of the transformation in the way that businesses buy their energy.

“Where once their choice was limited to telesales, field sales and even signing up when walking through a shopping centre, they now choose to go online.

“This company has enjoyed very fast growth because we take away the complications that buyers can feel around purchasing their gas and electricity.

“We have invested in the right technologies and will continue to do so. All the elements are in place for continued customer growth and profit predictions.”

Following early success the business was able to welcome outside investment to meet its growth ambitions.

In 2015 NVM Private Equity backed Love Energy Savings with £4.5 million for a 38 per cent stake.

More investors have since been sought and in September this year mid-market private equity investor LDC invested more than £25 million in a secondary buyout.

The investment will allow Love Energy Savings to expand its corporate services division, LES Solutions, invest in its proprietary tech platforms and diversify into the water telecoms and insurance markets.

As part of the deal, Steve Weller, former chief executive of energy switching service Uswitch, joined the board as non-executive chairman.