18th Mar 2020 11:58
(Alliance News) - MJ Hudson Group PLC on Wednesday reported an interim loss in its maiden results as an AIM-listed company.
The firm also announced it has acquired marketing services and analytics Meyler LLC. No financial details were disclosed.
Meyler - which has 8 employees across offices in New York and Vancouver - will be integrated into MJ Hudson's existing marketing and analytics business in the UK, to form a transatlantic offering to asset managers.
The acquisition is expected to be marginally earnings enhancing to MJ Hudson in its first full year of consolidation.
MJ Hudson Chief Executive Matthew Hudson the move was a "small but important step" in the company's North American growth strategy.
Turning to its first half results, MJ Hudson recorded a pretax loss of GBP3.2 million in the six months to December 31, compared to a GBP1.7 million the year before.
The company recorded GBP2.0 million of fundraising & acquisition costs in the first half, with total administrative expenses totalling GBP11.0 million - up from GBP8.1 million the year before.
Revenue was 1.2% lower year on year at GBP11.1 million from GBP11.3 million.
Hudson said: "I am pleased to report our maiden interim results as a quoted company, following our admission to AIM at the end of last year. New business momentum within the alternatives sector continues to drive our growth. Recent acquisitions are integrating well and broadening our touch points with clients, especially in benchmarking and ESG."
Normalised operating profit in the first half rose to GBP1.0 million from GBP300,000, while underlying revenue revenue grew 26% to GBP10.0 million - with strong growth from its Data & Analytics unit.
Hudson added: "Externally, we cannot ignore the current risk posed by coronavirus and its impact on global stock markets and investing. Naturally, we continue to monitor this situation, however our belief in our business is shaped by the long-term nature of the alternatives sector which we serve and its long-term uncorrelated performance in times of historic stock market volatility.
"We remain cautiously confident about our current financial year given what has already been achieved in the six months to December, the momentum in our business and the full year impact of recent acquisitions. At the same time, our conviction in our markets and our long-term opportunity has deepened."
The company did not declare a dividend in the period but expects to offer a maiden payout for the six-month period to December 2020.
Shares in MJ Hudson were untraded in London on Wednesday at 54.75 pence each.
By Paul McGowan; [email protected]
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