Wealth and investment management group Kingswood saw revenue hit £149.7m in 2021, a staggering 488% rise from the previous year.
Operating profit recorded a nearly eight-fold increase, reaching £6.3m up from £0.8m in 2020.
The company attributed the performance to the successful integration of acquisitions in the UK and growth in the US.
Assets under management and advice rose 15% to £6.8bn during the year, of which two-thirds was driven by organic growth with the rest via acquisitions.
Across the pond, Kingswood US raised over $9bn capital for investment banking clients in the year, with AUM hitting circa $2.5bn.
Appetite for acquisitions
Kingswood completed four acquisitions in the UK during 2021, which added £2.4m to operating profit and circa £1.8bn in AUMA. Among them was the Iboss Group for £16m in November.
A further five deals were completed in the UK in the first half of 2022, adding £0.8bn of assets under administration.
The company is currently in exclusive due diligence regarding a further eight acquisitions in the UK, which are expected to close in Q3.
The group had £42.6m of cash as of December 2021, an increase of £39m from the same month the previous year, largely driven by further investment from its private equity partners, Pollen Street Capital.
Single-minded focus
Kingswood chairman David Hudd said: “Despite the challenges faced, I am pleased to report record levels of revenue and operating profit with significant growth across Wealth Planning, Investment Management, and the US.
“We have a strong, well-capitalised balance sheet and have benefitted from our partnership with Pollen Street Capital who have now invested £77.4m to enable our acquisition and growth strategy.”
David Lawrence, Kingswood CEO, added: “Kingswood continues to demonstrate a strong track record in sourcing and securing acquisitions and in doing so is quickly building scale.
“We have a single-minded focus on both financial advice/planning and investment management activity, relying on leading market external expertise for other aspects of the client value-chain.
See also: Kingswood names new CEO in third senior shakeup in two years
