Profit before tax for the first half of the firm’s financial year was up 151% to £2m, in stark contrast the loss before tax of £3.9m recorded in the same period last year.
This took basic earnings per share to 3.04p from a loss per share of 7.9p in the same period a year ago.
Cost saving measures appear to have been a major factor in the turnaround, with the company managing to cut the overall figure by 5% to £73.1m from £77m.
Revenues from the ‘core business’ excluding businesses classed as held for sale, were up 4% to £70.8m from £68.4m.
Profit before tax from this core business was up 200% to £3m from £1m.
The firm’s total funds under management and administration were marginally down to £20bn from £20.2bn a year ago.
Discretionary funds were up however to £8.9bn from £8.7bn.
The Charles Stanley Direct business added over 5000 account holders during the first half with revenues up 2% to £2.6m from £2.5m and costs reduced by 29%, the company said.
Chief executive Paul Abberley said: “Significant progress has been made during the period, in line with the stated three-to-five year strategy announced at the last set of results. Our first priority was to arrest the decline in profitability, which we are pleased to have achieved, whilst maintaining our high levels of client delivery.”
“Whilst the building blocks are in place for growth, much remains to be done,” Abberley added. However I am confident that we are on course to deliver our vision of building Charles Stanley into the leading UK wealth management business.”
