Close Brothers Affirms Expectations After Solid Second Half So Far

LONDON (Alliance News) - Financial services company Close Brothers Group PLC on Friday said it performed well in the five months to the end of June and expects its results for the financial year to the end of July to meet its forecasts.

The FTSE 250-listed group said it performed well in the five months, with good returns in its banking arm, improved trading conditions for its Winterflood Securities business, and steady progress in its asset management franchise.

Close said its banking division loan book was up by 4.4% in the five months and is up by 7.7% in the financial year to date, with growth from property, asset and motor finance lines. Its net interest margin and bad debt ratio remains broadly stable in the five months.

Winterflood Securities has benefited from improved market conditions, Close said, with increased investor appetite compared to the sluggish trading seen a year earlier.

Close added it has made steady progress in its asset management unit, with assets under management rising 7.4% in the year to date to GBP10.4 billion, despite the negative market movements in June.

By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance

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