Kingswood Holdings today (30 September) reported group assets under advice and management (AUA&M) increased to £12.9bn up c8.2% on the prior year, in its unaudited interim financial results for the half year ended 30 June 2024.
The international wealth and investment management group said UK & Ireland (UK&I) Assets under Advice (AUA) at the period end were £6.0bn benefiting from the acquisition of BasePlan completed in February 2024.
UK&I assets under management (AUM) at the period end were £3.7bn while US AUA was £3.2bn.
The AIM-listed company also revealed that the statutory loss before tax for the period was £5.9m, an improvement of £3.9m against the restated comparable period last year (H1’23: loss before tax of £9.7m).
Group Revenue from continuing operations in the period was £40.6m, an increase of 14% on the restated prior year (H1’23: £35.6m).
UK&I revenue increased by £0.3m to £23.4m, or 1%, compared to the restated period last year, of which 81% is recurring in nature.
US revenue increased by £4.8m to £17.2m, a 38% rise compared to the restated period last year, driven by growth in authorised representatives.
H1 2024 group operating profit from continuing operations increased to £6.1m, a £1.1m or 21% increase compared to restated H1 2023, reflecting the benefit of acquisitions in the current period.
As previously announced at the time of the group’s final results on 28 June 2024, the sale of US subsidiary Benchmark Investments, LLC (BMI), that was completed on 9 November 2023, qualified as a discontinued operation. As a result, BMI's financial results for 2022 and 2023 were reclassified and reported separately from continuing operations in the Group annual financial statements for 31 December 2023, Kingswood said.
To ensure and provide a consistent and comparable view of the group’s financial performance, the H1 2023 financial results have been similarly restated to reflect BMI as a discontinued operation. As such, BMI's H1 2023 revenues, expenses, assets, and liabilities have been reclassified to discontinued operations.
For H1 2023, BMI generated £27m in revenue and had an operating and net loss before tax of £0.1m and £0.2m respectively. The full impact of this restatement is detailed in the Group’s interim consolidated financial statements below. No items have been presented as discontinued in H1 2024.
Peter Coleman (pictured), Kingswood chief executive officer, said: “I am pleased to share our interim financial results for the 6 month period to 30 June 2024. I am particularly pleased with our strong revenue growth and in particular the growth in recurring revenues, demonstrating that our acquisitions are beginning to mature.
"Quite rightly our focus is on providing a first-class experience to all of our clients, with the use of our excellent advice community, technology and range of award investment propositions. In particular I am pleased with the ongoing development of our IBOSS range of model portfolios and our in-house DFM both of which continue to flourish within the group.
"Our operating profit continues to grow, enabling our continued investment in people, propositions and processes all focussed on delivering a market-leading proposition for our clients. In UK&I we continue to be acquisitive with the addition of BasePlan, and we will continue to identify opportunities that enhance our growing business in this market.
“In the US we continue to expand with the momentum of advisor recruitment and banking growing exponentially.”
