19th Jul 2018 08:14
LONDON (Alliance News) - WH Ireland Group PLC said on Thursday its annual loss widened in a challenging period, but with a "much clearer path to profitability" now, as it also announced the departure of its chief executive officer.
Revenue rose to GBP36.4 million in the 16 months to March 31, up 7.5% on the GBP25.4 million reported for the 12 months to November 30. The company's pretax loss widened to GBP3.7 million from GBP3.2 million.
The reporting period change came following a decision to change the company's year-end to a "more conventional one".
Assets under management & administration fell to GBP2.56 billion from GBP2.87 billion, reflecting a "deliberate policy to reduce low margin, non-discretionary assets". Discretionary assets under management increased to GBP1.08 billion from GBP1.02 billion.
In Corporate Broking, the company posted retainer fee income of GBP3.8 million, up from GBP3.2 million.
For the year ahead, WH Ireland expects to achieve at least GBP2 million in cost savings, and discretionary assets under management have grown to GBP1.15 billion as at June 30.
"We have made considerable progress continuing the transformation of WH Ireland. However, as we previously stated, this process of change has not been without its challenges given market conditions and the scale of change that we have been implementing; this has resulted in losses being incurred last year - but a much clearer path to profitability is now ahead of us in the new financial year and beyond," said Chairman Tim Steel.
Separately, the company said Chief Executive Richard Killingbeck will step down as chief executive from July 31 in order to pursue "other opportunities". Killingbeck will not be seeking re-election as a director as the forthcoming annual general meeting on September 27 and may step down from the board before then.
Phillip Wale has been hired as his replacement, effective August 1, having been chief executive of Panmure Gordon & Co between 2012 and 2016, and head of fixed income (Europe) for Cantor Fitzgerald Europe for the past two years.
WH Ireland shares were down 6.2% at 120.01 pence early Thursday.
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