Wednesday, 11 September 2013 11:36
Brooks Macdonald Group reports pre-tax profits up 22 per cent
AIM-listed wealth manager and Financial Planner Brooks Macdonald Group plc has announced a 22 per cent increase in pre-tx profit to £10.4m.
Total revenue for the year to 30 June 2013 rose from £53.3m to £63.2m and the group said it saw growth prospects ahead in a more stable regulatory environment.
The company recorded a year on year increase of 45 per cent in discretionary funds under management to £5.11bn driven by acquisitions, performance and organic growth in distribution, capacity, strategic alliances and investment capability. The company is based in London but has offices around the country and its Financial Planning arm has offices in London, Jersey and Guernsey.
Acquisitions during the year included the investment business Spearpoint and the Park Street introducer businesses.
Brooks Macdonald Funds grew funds under management to £390m (2012: £148m) including the acquired Spearpoint funds.
Property assets under administration, managed by Braemar Estates, grew 20 per cent to £1.04bn (2012: £865m) while third party assets under administration are now in excess of £140m (2012: £50m), says the company.
There is a proposed final dividend of 16p (2012: 12.5p) per share payable on 18 October 2013 to shareholders on the register on 20 September 2013 and a 22 per cent increase in dividends proposed for the year of 22.5p (2012:18.5p).
Chris Macdonald, Brooks Macdonald chief executive, said: "This has been a year of considerable expansion for the Group against a backdrop of significant regulatory changes. I am pleased to report that we have seen growth across all five of our businesses over the course of the financial year.
"For the coming year our outlook for investment returns remains cautiously optimistic. We believe that there will be a more stable background for regulatory change, that there will continue to be margin pressures on non-bespoke services and that there will be numerous growth opportunities for the group. Despite the short term margin pressures highlighted, we are a progressive business and therefore will continue to invest for the future.
"I am pleased to report further organic growth in funds under management in the early months of the new financial year. The board remains confident for the future prospects of the group."