The UK financial planning and wealth management company posted robust performance and said it was “well positioned to meet increasing demand and regulatory change”.

London-listed AFH Financial Group enjoyed an 85 per cent rise in pre-tax profit to £1.59 million ($2.27 million) after completing 11 acquisitions over the financial year ending 31 October 2015.

The company boosted its full-year dividend by 50 per cent to 2.25 pence per share following an 115 per cent increase in EBITDA to £2.8 million. The firm said this was thanks to “controlled and profitable growth”. 

Meanwhile, revenues were up 40 per cent at £21 million, exceeding expectations set out in the interim report of May 2015. This was in part due to record levels of new business inflows, with almost £700 million of managed funds added as a result of acquisitions. Funds under management doubled to around £1.8 billion over the year.

AFH said it continues to take advantage of the acquisition opportunities arising from the consolidation of the independent financial advisory sector. The 11 acquisitions completed during the year held an average capped value of £1 million. Five of these were asset purchases, where the client databases and ongoing revenue streams were acquired.

Chief executive Alan Hudson said AFH had identified a “strong pipeline of opportunities” on which it will begin due diligence during the first half of 2016.

AFH's chairman, John Wheatley, said: “The company has again proven its ability to increase revenue whilst maintaining consistency in gross margins. This year has seen the early realisation of the benefits of scale and the infrastructure investment made in previous periods. The company continues to be cash generative, and maintains a strong balance sheet given the current size of its business. 

“The company will actively continue to seek appropriately priced opportunities during 2016 to generate additional revenue and drive increased profitability,” he added.