Member Article

Manchester corporate restructuring firm Begbies Traynor reports profit dip

Manchester-based Begbies Traynor has reported pre-tax profits of £1.9 million compared to £2.3 million for the same period last year.

The, corporate restructuring company also reported revenue was down at £20.8 million for the half year ending 31 October 2014, compared to £21.4 million for the same period last year.

The group report difficult market conditions marked with a 16% reduction in the number of UK corporate insolvencies.

Despite this the company announced a £5 million acquisition of Eddisons, a firm of chartered surveyors.

Executive chairman of Begbies Traynor Group, Ric Traynor, said: “Despite a challenging trading period for our profession, with reductions in national insolvency volumes to the lowest level since 2007, we have continued to trade profitably, with results in line with market expectations.

“We have mitigated the full impact of market conditions through acquisitions completed in the current and prior year and continued cost discipline, and we have retained our market-leading position in terms of number of insolvency appointments.

“We anticipate some improvement in trading levels in the second half of the financial year, over the traditionally busier winter months as we experienced in the previous financial year.

“The last four months of the financial year will also benefit from the post-acquisition trading profits from the Eddisons acquisition announced today, which is expected to be earnings enhancing in the current financial year.

“Overall, the group remains well placed to take advantage of opportunities to develop and enhance the business, both organically and through selective acquisitions.”

This was posted in Bdaily's Members' News section by Sophia Taha .