Begbies Traynor Group, a leading U.K. business recovery, financial advisory, and property services consultancy, has announced a decrease in pretax profit for the first half of its fiscal year. Despite this decline, the company remains confident in meeting market expectations for the full year.
For the six-month period ending October 31, pretax profit stood at £3 million, down from £5 million in the same period last year. This decrease can be attributed to higher non-cash acquisition accounting charges of £3.9 million compared to £800,000 a year ago, as well as lower non-cash amortization costs of £3 million.
However, when excluding exceptional and other one-off items, adjusted pretax profit actually increased to £9.9 million from £9 million. This improvement is a positive sign for the company.
Furthermore, revenue experienced a healthy growth, rising from £58.5 million to £65.9 million, indicating a strong performance during the first half of the fiscal year.
In light of these results, the board has declared an interim dividend of 1.3 pence per share, up from 1.2 pence in the previous year.
Analyst forecasts compiled by the company point to adjusted pretax profit for the full year ranging from £21.9 million to £22.5 million, highlighting positive expectations for future performance.
Begbies Traynor Group acknowledges its robust financial position and plans to continue investing in the business both organically and through acquisitions. This strategic approach aims to expand the company's scale and range of complementary services.
