Financial Results

Profits, Client Assets Rise At Charles Stanley

Tom Burroughes Group Editor London 9 June 2010

Profits, Client Assets Rise At Charles Stanley

Charles Stanley, the UK listed stockbroker and investment house, has said revenue for the 12 months to 31 March rose by 13.0 per cent to a record of £115.0 million ($166 million), compared with the same period a year ago, while pre-tax profit rose by 12.0 per cent to £10.3 million.

The adjusted profit before tax, which excludes the effect of investment disposals, amortisation and certain one-off costs, was 9.6 per cent higher at £13.7 million, the firm said in a statement.

Client funds managed or administered by Charles Stanley Group have risen to £12.8 billion at 31 March, an increase of 42.2 per cent compared with the total of £9.0 billion 12 months earlier.

Within this figure, the funds under discretionary management rose from £2.7 billion to £3.9 billion, up 44.4 per cent. The increase matched the gain in the FTSE 100 Share Index, up by 44.7 per cent in the period, and is well ahead of the rise of 28.3 per cent in the firm's principal benchmark, the APCIMS Balanced Portfolio Index, Charles Stanley said.

Clients’ discretionary funds now represent 61.9 per cent of the funds for which the firm provides investment management (at £6.3 billion), compared with 58.7 per cent (of a total of £4.6 billion) at 31 March 2009.

Charles Stanley proposed to raise the total dividend for the year by paying a final dividend of 2.25 pence net per share. Taken together with the first interim dividend of 2.2p and the second interim dividend of 5.0p this will make a total dividend for the year of 9.45p, an increase of 8.0 per cent on last year’s total dividend of 8.75p. The dividend will be paid on 5 August.

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