David Southworth, Chairman of Frenkel Topping, commented: “This was a pivotal period for the Company as we developed our investment strategy with a view to delivering higher growth rates in order for operating profits, AUM and cash to grow significantly from 2016 onwards. We took the decision to build on traditionally consistent growth, which has been underpinned by 99% client retention for our investment management services. We are delighted by the calibre of fee earners we have added to our growing regional footprint and are well placed to further grow our reach.
“We are focused on further developing our core market expertise and also see scope to provide asset protection services to a growing number of other potential markets. We will continue to explore opportunities that will enable us to grow our assets under management as we build on our strong foundations for accelerated growth.”
Frenkel Topping (AIM:FEN), a leading provider of specialist independent financial advice on the investment of personal injury damages and clinical negligence awards, has given DirectorsTalk its interim results for the six months ended 30 June 2015. The period has been one of continued growth in revenues and funds under management, combined with investment in the Company’s network of Fee Earning Consultants to accelerate growth in 2016.
Financial Highlights
-- Revenue up 9% to GBP2.94m (H1 2014: GBP2.71m)
— Recurring revenue of GBP2.27m (H1 2014: GBP2.04m), representing 77% of total revenue
-- Gross profit of GBP1.80m (H1 2014: GBP1.84m) -- Operating profit (before share based payments) of GBP0.61m (H1 2014: GBP0.74m) -- Pre-tax profit of GBP0.57m (H1 2014: GBP0.65m) - reflecting stated investment strategy -- Basic EPS of 0.71p (H1 2014: 0.86p) -- Assets under management up 11% to GBP640m (as at 30 June 2014: GBP584m) -- Cash from operations of GBP0.41 (as at 30 June 2014: GBP0.27m) -- Net cash at the period end of GBP1.74m (as at 31 December 2014: GBP1.70m) -- Interim dividend of 0.19p per share (H1 2014: 0.17p)
Operational Highlights
-- New offices opened in London, Birmingham, Cardiff, Leeds and Bristol
— Now have a total of 15 revenue generating fee earning consultants targeting a growing number of markets
-- Renewed focus on expert witness work to establish good relationships pre-settlement -- Strengthened key relationships with injury claims handlers and lawyers -- Continued 99% client retention for investment management services
