14th Feb 2019 10:56
LONDON (Alliance News) - Shares in Tavistock Investments PLC fell on Thursday as the company guided for its annual growth to be lower than expected.
Shares in the financial advice and investment management firm were trading down 10% at 3.00 pence each on Thursday.
"During the current financial year, headwinds, in the form of Brexit uncertainties, difficult global financial market conditions and investor anxiety, have slowed the pace at which the company has been able to grow funds under discretionary management and hence profitability," the company said.
It added: "Unlike many competitors, funds under management are increasing year-on-year and earnings are expected to grow significantly, just not to the level management had hoped."
However, even if lower than expected Tavistock reiterated its results for the year to the end of March will still show "meaningful growth".
A year ago, Tavistock posted revenue of GBP28.8 million while its pretax profit was GBP221,000.
Furthermore, the company still intends to pay a maiden dividend for the year.
By the end of the year, Tavistock plans the launch of its direct to consumer smartphone app, i-stock, which will provide customers with the ability to open both ISA and general investment accounts to invest.
The progress achieved "means the company is well positioned for continued growth next year and its prospects remain excellent", the firm added.
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