LONDON (Alliance News) - Wealth management company Charles Stanley Group PLC reported Thursday that its profit in the first half of the year almost doubled, as it saw growth in its funds under management and administration.
Charles Stanley reported a pretax profit of GBP3.6 million for the six months to September 30, up 80% from GBP2.0 million in the prior financial year. The company's funds under management and administration increased by 13% to GBP22.5 billion at September 30 from GBP20.0 billion at the same date in 2015.
Charles Stanley maintained its interim dividend at 1.5 pence per share.
Shares in Charles Stanley were up 15% at 306.54p Thursday following the announcement.
The company said that the completion of a consultation over remuneration for its investment management teams, basing remuneration on profit contribution over revenue, signalled the end of the initial phase of a turnaround process.
"The conclusion of the remuneration process is a significant milestone and marks the successful conclusion of the first stage of our turnaround strategy. We are maintaining momentum, and the group is now in a healthier position on a more sustainable basis. With operational foundations in place and productivity initiatives underway, we are well positioned to pursue the second phase of our strategy, with an emphasis on building the delivery of organic growth," said Paul Abberley, chief executive officer.
Charles Stanley also said that Mike Lilwall, one of its executive directors, has decided to step down from the board, effective from the close of business on Thursday, in order to focus on private client investment management.
By Adam Clark; adamclark@alliancenews.com
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