12th Aug 2024 10:44
(Alliance News) - WH Ireland Group PLC on Monday reported a wider loss in its recent financial year, partly reflecting the costs of its major restructuring, as the company moves ahead as a pure wealth-management firm.
The London-based company completed the sale of its Capital Markets division to Zeus Capital Ltd last month. It will receive up to GBP5 million in deferred consideration for the loss-making business, which acts as a stock broker and nominated adviser to London-listed companies.
WH Ireland reported a pretax loss of GBP5.9 million for the 12 months that ended March 31, widened from GBP1.8 million in financial 2023, as revenue declined by 20% to GBP21.5 million from GBP26.7 million.
WH Ireland also took GBP2.9 million in restructuring costs, versus none the year before. It had a reduced net loss on investments of GBP583,000, down from GBP2.7 million, but balancing this, it received no benefit from other income, down from GBP2.2 million.
Underlying pretax loss was GBP2.5 million, which widened less dramatically from GBP2.0 million.
Looking ahead, WH Ireland said it is no longer pursuing the sale of its remaining Wealth Management business, though it said it will consider "strategic opportunities if and when they arise".
"Having completed the sale of the Capital Markets division in July 2024, we have achieved a more stable financial position for the group against the current market backdrop," said Chief Executive Officer Phillip Wale.
"We are now implementing plans for the growth of the remaining WM business to return it to break even whilst finding further efficiencies in the group as a whole."
WH Ireland shares were down 7.2% to 3.02 pence on Monday morning in London.
By Tom Waite, Alliance News editor
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