British wealth manager Brewin Dolphin has registered a statutory pre-tax profit of £61m for the year ended 30 September 2015, up 797% compared to £6.8m a year ago.
The large increase was due to a non-recurring loss of £33.7m in 2014 relating to the termination of the rollout of a new operating system, a £9.7m gain in 2015 from the sale of the group’s holding in Euroclear, and a reduction in the amortisation of client relationships.
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The company’s adjusted operating profit rose 7% to £61.7m from £57.4m in 2014. The adjusted profit before tax from continuing operations increased by 7% to £62.2m from £58.4m a year ago and adjusted EPS grew by 7% to 17.1p per share.
The firm reported a total income of £283.7m, an increase of 1% compared to £280.8m for the same period last year.
The wealth manager posted 3% increase in discretionary funds under management to £24.8bn at 30 September 2015 from £24bn a year earlier.
Fee income grew by 7% to £188.5m from £175.9m a year ago and represents 66% of total income, while commission income declined by 12% to £71.5m. Total operating costs stood stable at £222m.
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By GlobalDataCore income for third quarter of 2015 stood at £66.9m compared to £67m in the same period last year. Discretionary service income grew by 2% to £56.1m and contributed 84% of core income.
For the period ended 30 September 2015, the group’s total funds reached £32bn from £32.5bn a year ago.
The group recorded a loss before tax of £10.4m from discontinued operations. The £14m sale proceeds are expected to be recognised in 2016.
The company’s board has proposed a final dividend of 8.25p per share, bringing the total dividend for the year to 12.0p per share, which represents an increase of 21% from the prior year.
Brewin Dolphin chief executive David Nicol said: "Initiatives to enhance key aspects of our business have culminated this year with the renewal of our client advice process and are now substantially complete. Expansion is now firmly on our agenda and we are in a strong position to take advantage of opportunities."
