IntegraFin Holdings, the parent company of adviser platform Transact, has today reported full year profits up 7% to £75.4m thanks to strong growth in earnings.

The company said earnings growth had been strong over the past year and the prospects were positive for further growth.

The company also said that following a group-wide cost review it has identified savings it believes will boost earnings growth in future. It has not provided details of the savings but the company has recently moved to new, more modern offices in the City.

Key financial figures:

• Closing Funds Under Direction grew 16% to £74.2bn (FY24: £64.1bn) with net inflows of £4.4bn, up 76% from FY24 (£2.5bn)

• Revenue increased 8% to £156.8m (FY24: £144.9m), driven by higher average daily FUD 

• Reported Profit Before Tax increased 0.3% to £69.1m (FY24: £68.9m). Underlying PBT increased by 7% to £75.4m (FY24: £70.6m).

• Reported EPS decreased 1% to 15.5p (FY24: 15.7p). Underlying EPS increased by 7% to 17.4p (FY24: 16.2p).

The company said its number of clients increased by 5% to 246,200 (FY24: 235,000. Staff numbers rose 5% to 698 at year end.

The company declared a second interim dividend of 8.0 pence per ordinary share, resulting in a 9% increase to the total dividend for the year to 11.3 pence per share (2024: 10.4 pence per share).

The company confirmed that pre-Budget speculation had fuelled a nervous investor market with, “heightened inflows and outflows activity, mainly relating to pension wrappers, similar to activity in advance of the UK Budget in 2024.” It said since the Budget flows momentum has reverted to trend.

Alex Scott, IHP group chief executive, said: "FY25 has been an excellent year for IHP. The continued appeal of the Transact platform and our commitment to high-quality client service have driven record gross inflows and a substantial increase in net inflows.  

“Our focus on digitalisation and integration enhancements has further strengthened the Transact proposition. By increasing the degree to which Transact interfaces with third party software, we drive greater efficiency for financial advice firms and our own business.

“We have completed the group-wide cost review announced in Q3 and are now focused on implementing the identified cost efficiencies and productivity enhancements. By combining increased operational efficiency with disciplined cost management, the group is well positioned to deliver growing operating returns from FY26 onwards. This reflects our ongoing commitment to delivering enhanced value to shareholders as we continue to grow the IHP business.”

Mr Scott said Transact remained confident about growth in the wider UK adviser platform market which now looks after £756bn of assets.