12th Mar 2020 10:35
(Alliance News) - Stockbroker Jarvis Securities PLC on Thursday hailed a "record-breaking" 2019 performance, which saw it raise its payout and post a double-digit profit rise.
Revenue in 2019 rose 4.7% to GBP10.5 million from GBP10.1 million, with pretax profit up 11% to GBP4.8 million from GBP4.3 million.
Its total dividend for 2019 was 68% higher at 41.25 pence per share from 24.5p.
Chair Andrew Grant said: "I am pleased to be able to report that we have built on excellent midyear results and had a record-breaking year in spite of the market uncertainty caused by the political environment which prevailed throughout most of 2019.
"Trade volumes year-on-year up to December 31 have fallen, but the changes we made to the business model during 2018 have led to an increase in fixed income. This action was necessary to offset increases in our fixed cost base driven by recent regulatory and legal changes throughout the industry."
Grant added that should trade volumes increase, the company is "well-positioned" to capture the financial gains".
He explained: "Being predominately IT focused overheads will not increase proportionately. This will lead to increased commission and interest income as cash under administration balances are positively correlated with trading volumes."
Shares were 2.7% higher at 448.80p each in London on Thursday morning.
By Eric Cunha; [email protected]
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