Trading Statement

RNS Number : 6352I

Brooks Macdonald Group PLC

27 July 2012

 



27 July 2012

BROOKS MACDONALD GROUP PLC

Year end trading update and Quarterly Announcement of Discretionary

Funds under Management

Acquisition

Notice of Results

Brooks Macdonald Group plc (the "Group"), the AIM listed integrated wealth management group, today announces a trading update for its year ended 30 June 2012 together with an update on its discretionary funds under management. The Group has also completed a small acquisition following its year end.

Trading Update

Trading for the year was in line with the Board's expectations, with revenues and profits comfortably ahead of last year. All parts of the business had successful and busy years, despite market conditions being unfavourable. We continued to make investments in our growth strategies. Net cash as at 30 June 2012 stood at £13.5m (31 December 2011: £9.5m).

Funds under Management

As at 30 June 2012 discretionary funds under management totalled GBP £3.520 billion. This represents an increase of over 18% compared to 30 June 2011 (£2.970bn). As a comparison the APCIMS balanced index fell by 2% over the year and the FTSE100 fell by 7%.

Included in the above total is Brooks Macdonald Funds; it had funds under management of £148 million at the year end (30 June 2011: £101 million).

The above numbers exclude Braemar Estates, which had property assets under administration of £865 million as at 30 June 2012 (30 June 2011: £750 million).

In line with our plans, the Group launched its new investment management administration service in April, having successfully become an Application Service Provider ('ASP').  Following this launch third party assets under administration are already in excess of £50m (these assets are also excluded from the funds under management numbers above).

Acquisition

Following the year end, the Group bought out its continuing obligations to an introducing company, JPAM Limited, due to the impending retirement of the principal with whom the Group has had a long standing relationship.

The Group is paying a total consideration in cash from its own resources of up to £4.4m, including the net assets of the company of £0.7m. The consideration is payable in deferred instalments over a three year period and the acquisition is expected to be earnings enhancing within twelve months.

Notice of Results

The Group intends issuing its final results for the year on Thursday 13 September 2012.

Chris Macdonald, Chief Executive, commented:

"The Group has had another successful year across all of its activities, whilst continuing to invest in its strategies for growth, despite unfavourable market conditions and weak investor sentiment."

Enquiries

Brooks Macdonald Group PLC

Chris Macdonald - Chief Executive                                                                                               020 7499 6424

Simon Jackson - Finance Director                                                                            www.brooksmacdonald.com

Canaccord Genuity (Nominated Adviser & Broker)

Bruce Garrow/Sebastian Jones                                                                                                    020 7523 8350

MHP Communications

Reg Hoare / Barnaby Fry/ Simon Hockridge/ Giles Robinson                                                          020 3128 8100

Notes to editors

Brooks Macdonald Group plc is an AIM listed integrated wealth management group. The group consists of three principal companies: Brooks Macdonald Asset Management Limited, a discretionary asset management business; Brooks Macdonald Financial Consulting Limited, a financial advisory and employee benefits consultancy and the Braemar Group which acts as a fund manager, under the name of Brooks Macdonald Funds and manages property assets on behalf of the funds and other clients.

Brooks Macdonald Asset Management provides a bespoke, fee based, investment management service to private high net worth individuals, charities and trusts. It also provides in-house custody, nominee and dealing services and has existing offices in London, Manchester, Hampshire, Taunton, Tunbridge Wells, Edinburgh and York.

 

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