20th Nov 2024 11:43
(Alliance News) - FRP Advisory Group on Wednesday said its first-half performance was "strong," driven by organic expansion and strategic acquisitions.
In a trading update for the six months ended on October 31, the London-based business advisory firm said it expects a 44% increase underlying adjusted in earnings before interest, taxes, depreciation, and amortisation to GBP22.3 million from GBP15.5 million a year ago.
Revenue for the period is expected to stand at GBP77.6 million, a 32% increase from GBP58.7 million a year ago. The growth was driven by a combination of organic expansion, contributing 23% of the revenue increase, and acquisitions, which accounted for 9%.
The firm's board said it remains confident of achieving full-year market expectations of GBP146.7 million in revenue and adjusted Ebitda of GBP39.5 million.
FRP said its balance sheet "remains strong", with net cash of GBP13.3 million as of October 31, up from GBP11.7 million a year earlier. It also retains access to a GBP10 million undrawn revolving credit facility.
FRP's restructuring division began the first-half "well", completing notable projects like The Body Shop. However, economic stagnation post-July's UK election and pre-budget period led to a spike in solvent liquidations.
Chief Executive Officer Geoff Rowley said: "FRP has delivered another strong performance in the first half of the year, reporting increased revenue and profits. We have enhanced our offering and are even better positioned to provide optimum solutions for our clients."
Shares in FRP were up 7.9% at 158.00 pence in London on Wednesday morning.
By Eva Castanedo, Alliance News reporter
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