13th Jun 2014 09:33
LONDON (Alliance News) - Argo Group Ltd Friday said it maintained profitability at a "satisfactory level" in 2013, after it reported a slight fall in revenue but said it swung to a pretax profit after having booked a huge impairment charge the prior year.
The investment manager posted a pretax profit of USD2.1 million for 2013, compared to a pretax loss of USD14.2 million in 2012, when it suffered a one-off goodwill impairment charge of USD14.9 million. Argo said the profit also recorded an unrealised gain on current asset investments of USD0.9 million in 2013, compared with an unrealised loss USD0.2 million in 2012.
Revenues in the year fell slightly to USD8.8 million from USD8.9 million the prior year, as the company generated lower incentive fees.
"In 2013, Argo maintained its profitability at a satisfactory level, and we are encouraged by signs of improved valuations in some of Argo's most important private equity assets. Whilst Argo is currently conserving liquidity, we remain committed to paying a dividend as soon as possible," said chief Executive Kyriakos Rialas in a statement.
Argo shares were down 5.3% Friday morning, trading at 13.50 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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