WHIreland Regulatory News (WHI)

19 Dec 2008 16:20



WH Ireland Group plc

("WH Ireland" or "the Company")

Trading Update

The Board of WH Ireland, the AIM-quoted investment banking group, provides the following update for the year ended 30 November 2008. The Company expects to announce its preliminary results in the first two weeks of March 2009.

At the time of the interim results for the six months' ended 31 May 2008, the Company reported that it had achieved an operating profit of £575,000 on turnover of £16.2 million and that trading conditions had remained difficult since the half year end. In addition, it was noted that the company had not witnessed a levelling out in Stock Exchange volumes and activity.

This trend continued into September but, in October and November, the Company witnessed a substantial increase in stockbroking commissions. As a consequence, stockbroking commissions for the second half year totalled some £9.4 million, an increase of approximately 18.7% on the first half. Moreover, this positive trend has continued in the first two weeks of December. Total stockbroking revenues increased by around 20% in the second half compared to the first six months, more than offsetting declines in financial services and corporate revenues.

The corporate finance and corporate broking operations continued to perform well in extreme market conditions where there has been a dearth of activity. The Company undertook a total of 7 transactions in the second half year, raising in total £5.5 million for its corporate clients. This comprised 2 Admissions to AIM, 2 Admissions to PLUSmarkets and 3 secondary fundraisings. At the end of the period, the Company acted for 49 AIM companies as both Nominated Adviser and Broker, a further 6 companies as Nominated Adviser only and a further 13 companies as Broker. Additionally, WH Ireland now acts for 1 fully listed company as Broker as well as sponsoring 3 PLUSmarkets companies and acting as exclusive financial UK adviser to 2 overseas companies. Our annual retainer income continues to more than cover the employment costs of our securities business.

Notwithstanding continuing declines in the value of realised and unrealised investments as a result of the downturn in global stockmarkets, the Company's balance sheet continues to be strong with the net asset value per share comfortably in excess of the current share price.