(Alliance News) - Begbies Traynor Group PLC on Tuesday reported a considerable rise in annual profit on revenue growth, as all areas in the group performed well.
For the financial year to the end of April, the business rescue and recovery business booked a pretax profit of GBP3.5 million, up 52% from GBP2.3 million the year before.
On an adjusted basis - which removes transaction costs and amortisation of intangible assets of GBP2.4 million arising on acquisitions - pretax profit increased by 26% to GBP7.1 million from GBP5.6 million the prior year.
Revenue grew by 15% to GBP60.1 million from GBP52.1 million, nine points of which was organic.
Begbies Traynor said in all areas of the group there was a strong performance, with the business recovery segment growing on a rise in insolvency numbers, organic investment and acquisitions.
The advisory business benefited from the acquisition of Springboard Corporate Finance in March 2018 for GBP3.3 million, and property services have continued to develop through focussed investment and acquisitions.
Begbies Traynor proposed a final dividend of 1.8 pence per share, leading to an increased payout of 2.6p, up 8% from 2.4p the year before.
Looking ahead, the group said it has entered the new financial year with positive momentum and is confident of meeting current market expectations.
"We have reported another year of strong financial performance, ahead of our original expectations, in which we have grown the business organically, completed four acquisitions and increased the dividend whilst reducing net debt. All areas of the group performed well, reflecting the benefits of recent organic investment, an increase in market activity and the good performance of recent acquisitions," said Executive Chair Ric Traynor.
Shares in Begbies Traynor were up 3.4% at 76.0 pence on Tuesday.
Begbies (BEG)