Walker Crips Group, a UK-based wealth management firm, has reported a five-fold increase in pre-tax profit to £589,000 for the six months ended 30 September 2015 compared to £115,000 a year ago.
Group revenues for the period were up 22% to £13.3m from £10.9m a year earlier, while gross profit (net revenues) increased by 20% to £8.9m from £7.4m in the year ago period.
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The group said its total assets under management and administration (AUMA) for the six months ended 30 September 2015 were up 22% year on year to £3.9bn compared to £3.2bn a year earlier.
The company’s discretionary and advisory assets under management and administration for the six months ended 30 September 2015 rose 31% to £2.1bn, from £1.6bn a year ago due to the firm’s greater emphasis on fee generation rather than transactional brokerage.
The group’s proportion of fees and non broking income increased to 60% compared to 57% for the same period a year ago.
For the first six months ended 30 September 2015, interim dividend grew by 9% to 0.58p per share and overall administrative expenses stood at £8.4m.
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By GlobalDataWealth Management
The wealth manager said that revenues and profits its wealth management unit dropped by 10% and 34% respectively when compared to an exceptionally good first six months of 2014 at York-managed wealth management division.
AUMA at the wealth management division were up by 10.4% to £479m compared to £434m a year earlier.
Investment Management
The group registered a 26% rise in revenues from its investment management arm to £12m from, £9.5m a year ago driven by additional revenue from its acquisition of Barker Poland Asset Management and business transferred in by new investment managers and advisers.
The unit’s discretionary assets were £0.94bn for the period compared to £0.57 billion at 30 September 2014, while advisory assets were £1.19bn.
Walker Crips chairman David Gelber said: "Following its acquisition in March 2015, Barker Poland Asset Management has made its first full contribution to our results and we continue to increase the proportion of our revenues earned as fees, rather than through transaction-driven commissions."
