4th Jul 2014 09:10
LONDON (Alliance News) - European Wealth Group Ltd Friday said the second-half of the year is unlikely to show the same level of organic revenue growth as in the first, noting that global markets are trading at historic highs.
The Dow Jones Industrial Average closed above 17,000 points for the first time on Thursday.
European Wealth said it expects to report positive earnings before interest, tax, depreciation, and amortisation for the first-half, excluding the costs of admission to AIM.
The group said it is generating above-average returns for clients, with its three key portfolios outperforming their peer group in the first quarter. It said trading benefited from strong market conditions in the first half, which, coupled with the growth in funds under management and influence, "should result in solid growth in first half revenues."
The wealth management group said funds under management and influence grew to about GBP820.0 million at the end of June, from about GBP660.0 million at the end of 2013, driven by the strengthening of its European investment management team, the recruitment of experienced asset managers, and continued growth in the financial planning business, European Financial Planning.
In addition, European Wealth, which came entered the London Stock Exchange's AIM market via a reverse takeover of EW Group in May, recently completed the acquisition of Surrey-based independent financial advisory Compass. That business has about GBP31.0 million of funds under influence.
Executive Chairman John Morton suggested that Compass won't be European Wealth's last acquisition.
"We continue to review further organic growth and targeted acquisition opportunities that have the ability to widen our geographic reach, broaden our scope of services and access important new client niches in the second half of the year," Morton said in a statement.
European Wealth shares were untraded Friday; they were last quoted at 100.00 pence.
By Samuel Agini; [email protected]; @samuelagini
Copyright 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
EW Group