TIDMBRK
RNS Number : 0166P
Brooks Macdonald Group PLC
18 March 2009
Brooks Macdonald Group plc
Interim results for the six months ended 31 December 2008
Brooks Macdonald Group plc (the "Group"), the fee-based integrated private
client discretionary asset management and financial advisory group, today
announces its interim results for the six months ended 31 December 2008.
Highlights
+-------------------+-----------+-----------+---------+-----------+
| | Six | Six | % | Year |
| | months to | months to | Change | ended |
| | 31.12.08 | 31.12.07 | | 30.06.08 |
+-------------------+-----------+-----------+---------+-----------+
| Revenue | GBP9.65m | GBP7.8m | Up 23% | GBP12.07m |
| | | | | |
+-------------------+-----------+-----------+---------+-----------+
| Pre-tax profits | GBP1.26m | GBP0.86m | Up 46% | GBP1.60m |
| | | | | |
+-------------------+-----------+-----------+---------+-----------+
| Basic earnings | 8.35p | 6.74p | Up 24% | 11.85p |
| per share | | | | |
+-------------------+-----------+-----------+---------+-----------+
| Diluted earnings | 8.22p | 6.54p | Up 26% | 10.99p |
| per share | | | | |
+-------------------+-----------+-----------+---------+-----------+
* Funds under management rose by over 3% during the period to GBP1.218 billion
(30.6.08 GBP1.18 billion), despite weak investment markets
* Strong growth in SIPPs market
* Continued investment in building the business
Commenting on the results, Chris Macdonald, CEO, said:
"These results reflect not only the continued excellent progress made by the
Group but also the robust nature of our business model. Whilst the current
economic environment remains very challenging, the Group is well positioned to
build on its recent growth both organically and through opportunities that may
arise."
Enquiries to:
Brooks Macdonald Group plc +44 (0)20 7499 6424
Chris Macdonald, Chief Executive
Simon Jackson, Finance Director
Collins Stewart Europe Limited +44 (0)20 7523 8350
Bruce Garrow
Bankside Consultants +44 (0)20 7367 8888
Simon Rothschild
Oliver Winters
Notes to Editors
There are three trading companies within the Group. Brooks Macdonald Asset
Management Limited and Brooks Macdonald Financial Consulting Limited are both
authorised and regulated by the Financial Services Authority and offer a fee
based service to a range of clients. Brooks Macdonald Services Limited which is
not regulated provides custody and nominee services to our clients.
Brooks Macdonald Asset Management provides a bespoke, personalised fund
management service mainly to individuals but also to trusts and charities.
Brooks Macdonald Financial Consulting advises individuals, families and
businesses of all sizes on a long term-basis on a broad range of services
including pensions, mortgages and employee benefits.
Chairman's Statement
I am pleased to report a strong set of results for the first half of our
financial year, the six months ended 31 December 2008.
On turnover of GBP9.65million, an increase of 23.4% over the corresponding
period last year, we have achieved pre-tax profits of GBP1.26million, a rise of
46%. Earnings per share have increased from 6.74p to 8.35p.
Funds under management at 31 December 2008 were GBP1.21 billion, compared with
GBP1.18 billion at 30 June 2008. This increase is a considerable achievement
when viewed in the context of the sharp decline in global markets over that
time. Our new business efforts have continued to be very successful,
particularly in the SIPPs market and through various strategic alliances. Our
two regional offices, in Winchester and Manchester, have performed well: we
intend to expand our regional presence in the coming months. We have continued
to recruit high quality experienced fund managers, and to invest in the further
development of the business. Our performance continues to be robust, which
coupled with high cash weightings should lead to increased profitability in the
second half of the financial year.
Reflecting the continued growth of the business, Nicholas Holmes and Andrew
Shepherd were appointed Joint Managing Directors of Brooks Macdonald Asset
Management in September 2008.
Brooks Macdonald Services also had a strong six months. It gives the Group
considerable operational leverage and enables expansion of our asset management
business without the back office constraints.
Brooks Macdonald Financial Consulting has inevitably been affected by the
economic downturn and did well to achieve a turnover only slightly below that of
last year.
The economic outlook continues to be highly challenging, and is clearly a
significant threat to investment assets. Equally we believe that it presents us
with a number of opportunities, given our effective distribution channels and
the quality of our staff.
Christopher Knight
Chairman
17 March 2009
Brooks Macdonald Group plc
Consolidated income statement for the six months ended 31 December 2008
+---------------------------+------+-----------------+----------------+---------------+
| | Note | 31 December | 31 December | 30 June |
| | | 2008(unaudited) | 2007(unaudited | 2008(audited) |
| | | | & restated) | |
+---------------------------+------+-----------------+----------------+---------------+
| | | GBP | GBP | GBP |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Revenue | | 9,646,264 | 7,810,900 | 16,786,350 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Administrative costs | | (8,530,789) | (7,114,561) | (15,074,405) |
+---------------------------+------+-----------------+----------------+---------------+
| Operating profit | | 1,115,475 | 696,339 | 1,711,945 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Finance income | | 144,004 | 166,616 | 315,530 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Profit before taxation | | 1,259,479 | 862,955 | 2,027,475 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Taxation | | (425,703) | (201,079) | (808,384) |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Profit for the period | | 833,776 | 661,876 | 1,219,091 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Earnings per share | 3 | | | |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Basic earnings per share | | 8.35p | 6.74p | 12.41p |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Diluted earnings per | | 8.22p | 6.54p | 12.08p |
| share | | | | |
+---------------------------+------+-----------------+----------------+---------------+
Consolidated interim balance sheet as at 31 December 2008
+---------------------------+------+-----------------+----------------+---------------+
| | Note | 31 December | 31 | 30 June |
| | | 2008(unaudited) | December | 2008(audited) |
| | | | 2007(unaudited | |
| | | | & restated) | |
+---------------------------+------+-----------------+----------------+---------------+
| | | GBP | GBP | GBP |
+---------------------------+------+-----------------+----------------+---------------+
| Assets | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Non current assets | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Property, plant and | | 1,192,982 | 631,093 | 876,941 |
| equipment | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Intangible assets | 5 | 517,401 | 444,189 | 605,271 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Total non current assets | | 1,710,383 | 1,075,282 | 1,482,212 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Current assets | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Trade and other | | 2,435,492 | 2,407,387 | 2,840,270 |
| receivables | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Deferred taxation | | - | 98,883 | 20,980 |
+---------------------------+------+-----------------+----------------+---------------+
| Available- for sale | 6 | 804,975 | 37 | - |
| financial assets | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Cash and cash equivalents | | 5,813,752 | 5,205,122 | 5,923,712 |
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Total current assets | | 9,054,219 | 7,711,429 | 8,784,962 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Total assets | | 10,764,602 | 8,786,711 | 10,267,174 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Current liabilities | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Trade and other payables | | (3,679,835) | (2,970,924) | (4,037,849) |
+---------------------------+------+-----------------+----------------+---------------+
| Current tax liabilities | | (403,490) | (781,720) | (310,482) |
+---------------------------+------+-----------------+----------------+---------------+
| Total current liabilities | | (4,083,325) | (3,752,644) | (4,348,331) |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Non current liabilities | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Provisions | 7 | (189,930) | (194,800) | (53,607) |
+---------------------------+------+-----------------+----------------+---------------+
| Other non current | | (17,188) | (23,439) | (20,313) |
| liabilities | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Total non current | | (207,118) | (218,239) | (73,920) |
| liabilities | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Net assets | | 6,474,159 | 4,815,828 | 5,844,923 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Financed by: | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Equity | | | | |
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Share capital | | 99,875 | 98,131 | 99,850 |
+---------------------------+------+-----------------+----------------+---------------+
| Share premium account | | 1,574,506 | 1,365,910 | 1,571,031 |
+---------------------------+------+-----------------+----------------+---------------+
| Other reserves | | 955,340 | 548,863 | 813,903 |
+---------------------------+------+-----------------+----------------+---------------+
| Retained earnings | | 3,844,438 | 2,802,924 | 3,360,139 |
+---------------------------+------+-----------------+----------------+---------------+
| | | | | |
+---------------------------+------+-----------------+----------------+---------------+
| Total equity | | 6,474,159 | 4,815,828 | 5,844,923 |
+---------------------------+------+-----------------+----------------+---------------+
Consolidated interim cash flow statement for the six months ended 31 December
2008
+-------------------------------+-------+-----------------+----------------+---------------+
| | Note | Six months | Six months | Year ended |
| | | ended 31 | ended 31 | 30 June |
| | | December | December | 2008(audited) |
| | | 2008(unaudited) | 2007(unaudited | |
| | | | & restated) | |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | GBP | GBP | GBP |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Cash inflow from operating | | | | |
| activities | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Cash generated from | 8 | 1,632,909 | 769,005 | 2,642,457 |
| operations | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Taxation paid | | (330,079) | - | (836,285) |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Net cash from operating | | 1,302,830 | 769,005 | 1,806,172 |
| activities | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Cash flow from investing | | | | |
| activities | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Purchase of property, plant | | (451,518) | (254,030) | (605,519) |
| and equipment | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Purchase of intangible assets | | (20,906) | (211,794) | (534,636) |
+-------------------------------+-------+-----------------+----------------+---------------+
| Purchase of investment | | (738,393) | - | - |
| securities | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Interest received | | 144,004 | 166,616 | 315,530 |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Net cash used in investing | | (1,066,813) | (299,208) | (824,625) |
| activities | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Cash flows from financing | | | | |
| activities | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Proceeds of issue of shares | | 3,500 | - | 206,840 |
+-------------------------------+-------+-----------------+----------------+---------------+
| Dividends paid to | | (349,477) | (220,795) | (220,795) |
| shareholders | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Net cash used in financing | | (345,977) | (220,795) | (13,955) |
| activities | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Net (decrease)/ increase in | | (109,960) | 249,002 | 967,592 |
| cash and cash equivalents | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Cash and cash equivalents at | | 5,923,712 | 4,956,120 | 4,956,120 |
| start of period | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| Cash and cash equivalents at | | 5,813,752 | 5,205,122 | 5,923,712 |
| end of period | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
| | | | | |
+-------------------------------+-------+-----------------+----------------+---------------+
Consolidated statement of changes in equity from 1 July 2007 to 31 December 2008
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| | Share | Share | Share | Merger | Available | Retained | Total |
| | capital | premium | option | | | earnings | |
| | | account | reserve | reserve | for sale | (restated-note | |
| | | | (restated- | | reserve | a) | |
| | | | note a) | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| | GBP | GBP | GBP | GBP | GBP | GBP | GBP |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| At 1 July 2007 | 98,131 | 1,365,910 | 357,322 | 191,541 | - | 2,361,843 | 4,374,747 |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Profit for the | - | - | - | - | - | 661,876 | 661,876 |
| period | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Dividends paid | - | - | - | - | - | (220,795) | (220,795) |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Share option | - | - | - | - | - | - | - |
| movement | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| At 31 December | 98,131 | 1,365,910 | 357,322 | 191,541 | - | 2,802,924 | 4,815,828 |
| 2007 | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Issue of | 1,719 | 205,121 | - | - | - | - | 206,840 |
| shares for | | | | | | | |
| cash | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Profit for the | - | - | - | - | - | 557,215 | 557,215 |
| period | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Deferred | - | - | 27,071 | - | - | - | 27,071 |
| tax-share | | | | | | | |
| options | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Share option | - | - | 237,969 | - | - | - | 237,969 |
| movement | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| At 30 June | 99,850 | 1,571,031 | 622,362 | 191,541 | - | 3,360,139 | 5,844,923 |
| 2008 | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Issue of | 25 | 3,475 | - | - | - | - | 3,500 |
| shares for | | | | | | | |
| cash | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Profit for the | - | - | - | - | - | 833,776 | 833,776 |
| year | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Fair value | - | - | - | - | 66,582 | - | 66,582 |
| gain on | | | | | | | |
| available-for-sale | | | | | | | |
| assets | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Dividends paid | - | - | - | - | - | (349,477) | (349,477) |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Deferred | - | - | (18,367) | - | - | - | (18,367) |
| tax-share | | | | | | | |
| options | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| Share option | - | - | 93,222 | - | - | - | 93,222 |
| movement | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
| At 31 December | 99,875 | 1,574,506 | 697,217 | 191,541 | 66,582 | 3,844,438 | 6,474,159 |
| 2008 | | | | | | | |
+--------------------+---------+-----------+------------+---------+-----------+----------------+-------------+
Note (a) The figures for 31 December 2007 have been restated resulting from the
adjustments made in the year ended 30 June 2007 in respect of presenting the
Group's financial statements under IFRS.
Brooks Macdonald Group plc
Notes to the consolidated interim accounts
for the six months ended 31 December 2008
1 Basis of preparation
These interim accounts are presented in accordance with IAS 34 "Interim
Financial Reporting". The interim accounts have been prepared on basis of the
accounting policies, methods of computation and presentation set out in the
Group's consolidated accounts for the year ended 30 June 2008 except as stated
below. The interim accounts should be read in conjunction with the Group's
audited accounts for the year ended 30 June 2008.
There is an additional accounting policy in respect of available for sale
financial assets. These financial assets are initially recognised at fair value
with any subsequent changes in fair value recognised directly in equity. When an
asset is disposed of or impaired, any cumulative gain or loss previously
recognised in equity is transferred to the income statement.
The information in this announcement does not comprise statutory accounts within
the meaning of section 240 of the Companies Act 1985. The Group's accounts for
the year ended 30 June 2008 have been reported on by the auditors and delivered
to the Registrar of Companies. The report of the auditors was unqualified and
did not draw attention to any matters by way of emphasis. They also did not
contain a statement under section 237(2) of the Companies Act 1985.
2 Segmental information
For management purposes the Group's activities are organised into two operating
divisions, investment management and financial planning. The Group's other
activity, offering nominee and custody services to clients, has been included in
investment management. These divisions are the basis on which the Group reports
its primary segmental information.
Revenues and expenses are allocated to the business segment that originated the
transaction. Revenues and expenses that are not directly originated by a
business segment are reported as unallocated. Centrally incurred expenses are
allocated to business segments on an appropriate pro-rata basis. Segmental
assets and liabilities comprise operating assets and liabilities, being the
majority of the balance sheet.
+---------------------+--+------------+------------+------------+
| Period ended 31 | | Investment | Financial | Total |
| December | | management | planning | |
| 2008(unaudited) | | | | |
+---------------------+--+------------+------------+------------+
| | | GBP | GBP | GBP |
+---------------------+--+------------+------------+------------+
| Total revenues | 8,591,624 | 1,300,903 | 9,892,527 |
+------------------------+------------+------------+------------+
| Inter company revenues | (246,263) | - | (246,263) |
+------------------------+------------+------------+------------+
| External revenues | 8,345,361 | 1,300,903 | 9,646,264 |
+------------------------+------------+------------+------------+
| | | |
+-------------------------------------+------------+------------+
| Segmental result | | 1,463,693 | 57,079 | 1,520,772 |
+---------------------+--+------------+------------+------------+
| Unallocated items | | | | (261,293) |
+---------------------+--+------------+------------+------------+
| Profit before tax | | | | 1,259,479 |
+---------------------+--+------------+------------+------------+
| Taxation | | | | (425,703) |
+---------------------+--+------------+------------+------------+
| Profit for the | | | | 833,776 |
| period | | | | |
+---------------------+--+------------+------------+------------+
| | | | | |
+---------------------+--+------------+------------+------------+
| At 31 December 2008 | | | | |
+---------------------+--+------------+------------+------------+
| Segment assets | | 8,893,783 | 1,870,395 | 10,764,178 |
+---------------------+--+------------+------------+------------+
| Unallocated assets | | | | 424 |
+---------------------+--+------------+------------+------------+
| Total assets | | | | 10,764,602 |
+---------------------+--+------------+------------+------------+
| | | | | |
+---------------------+--+------------+------------+------------+
| Segment liabilities | | 2,160,307 | 1,741,862 | 3,902,169 |
| | | | | |
+---------------------+--+------------+------------+------------+
| Unallocated | | | | 388,274 |
| liabilities | | | | |
+---------------------+--+------------+------------+------------+
| Total liabilities | | | | 4,290,443 |
+---------------------+--+------------+------------+------------+
| Capital expenditure | | - | 451,516 | 451,516 |
| | | | | |
+---------------------+--+------------+------------+------------+
| Depreciation | | - | 244,250 | 244,250 |
+---------------------+--+------------+------------+------------+
| Provisions charged | | 147,500 | 57,430 | 204,930 |
+---------------------+--+------------+------------+------------+
| Provisions utilised | | 21,607 | 47,000 | 68,607 |
| | | | | |
+---------------------+--+------------+------------+------------+
| | | | | |
+---------------------+--+------------+------------+------------+
+---------------------+--+------------+------------+-----------+
| Period ended 31 | | Investment | Financial | Total |
| December | | management | planning | |
| 2007(unaudited & | | | | |
| restated) | | | | |
+---------------------+--+------------+------------+-----------+
| | | GBP | GBP | GBP |
+---------------------+--+------------+------------+-----------+
| Total revenues | 6,461,963 | 1,416,321 | 7,878,284 |
+------------------------+------------+------------+-----------+
| Inter company revenues | (67,384) | - | (67,384) |
+------------------------+------------+------------+-----------+
| External revenues | 6,394,579 | 1,416,321 | 7,810,900 |
+------------------------+------------+------------+-----------+
| | | |
+-------------------------------------+------------+-----------+
| Segmental result | | 885,080 | 55,785 | 940,865 |
+---------------------+--+------------+------------+-----------+
| Unallocated items | | | | (77,910) |
+---------------------+--+------------+------------+-----------+
| Profit before tax | | | | 862,955 |
+---------------------+--+------------+------------+-----------+
| Taxation | | | | (201,079) |
+---------------------+--+------------+------------+-----------+
| Profit for the | | | | 661,876 |
| period | | | | |
+---------------------+--+------------+------------+-----------+
| | | | | |
+---------------------+--+------------+------------+-----------+
| At 31 December 2007 | | | | |
+---------------------+--+------------+------------+-----------+
| Segment assets | | 7,213,029 | 1,474,514 | 8,687,543 |
+---------------------+--+------------+------------+-----------+
| Unallocated assets | | | | 99,168 |
+---------------------+--+------------+------------+-----------+
| Total assets | | | | 8,786,711 |
+---------------------+--+------------+------------+-----------+
| | | | | |
+---------------------+--+------------+------------+-----------+
| Segment liabilities | | 2,365,812 | 1,384,255 | 3,750,067 |
| | | | | |
+---------------------+--+------------+------------+-----------+
| Unallocated | | | | 220,816 |
| liabilities | | | | |
+---------------------+--+------------+------------+-----------+
| Total liabilities | | | | 3,970,883 |
+---------------------+--+------------+------------+-----------+
| | | | | |
+---------------------+--+------------+------------+-----------+
| Capital expenditure | | - | 465,824 | 465,824 |
| | | | | |
+---------------------+--+------------+------------+-----------+
| Depreciation | | - | 221,749 | 221,749 |
+---------------------+--+------------+------------+-----------+
| Provisions charged | | 18,000 | 19,500 | 37,500 |
+---------------------+--+------------+------------+-----------+
| Provisions utilised | | 30,000 | 17,690 | 47,690 |
| | | | | |
+---------------------+--+------------+------------+-----------+
+---------------------+--+--------------+-----------+------------+
| Year ended 30 June | | Investment | Financial | Total |
| 2008 (audited) | | management | planning | |
+---------------------+--+--------------+-----------+------------+
| | | GBP | GBP | GBP |
+---------------------+--+--------------+-----------+------------+
| Total revenues | 14,404,098 | 2,648,611 | 17,052,709 |
+------------------------+--------------+-----------+------------+
| Inter company revenues | (266,359) | - | (266,359) |
+------------------------+--------------+-----------+------------+
| External revenues | 14,137,739 | 2,648,611 | 16,786,350 |
+------------------------+--------------+-----------+------------+
| | | |
+---------------------------------------+-----------+------------+
| Segmental result | | 2,163,496 | 127,021 | 2,290,517 |
+---------------------+--+--------------+-----------+------------+
| Unallocated items | | | | (263,042) |
+---------------------+--+--------------+-----------+------------+
| Profit before tax | | | | 2,027,475 |
+---------------------+--+--------------+-----------+------------+
| Taxation | | | | (808,384) |
+---------------------+--+--------------+-----------+------------+
| Profit for the year | | | | 1,219,091 |
| | | | | |
+---------------------+--+--------------+-----------+------------+
| | | | | |
+---------------------+--+--------------+-----------+------------+
| At 30 June 2008 | | | | |
+---------------------+--+--------------+-----------+------------+
| Segment assets | | 7,711,961 | 1,426,073 | 9,138,034 |
+---------------------+--+--------------+-----------+------------+
| Unallocated assets | | | | 1,129,140 |
+---------------------+--+--------------+-----------+------------+
| Total assets | | | | 10,267,174 |
+---------------------+--+--------------+-----------+------------+
| | | | | |
+---------------------+--+--------------+-----------+------------+
| Segment liabilities | | 2,299,596 | 1,495,319 | 3,794,915 |
| | | | | |
+---------------------+--+--------------+-----------+------------+
| Unallocated | | | | 627,336 |
| liabilities | | | | |
+---------------------+--+--------------+-----------+------------+
| Total liabilities | | | | 4,422,251 |
+---------------------+--+--------------+-----------+------------+
| | | | | |
+---------------------+--+--------------+-----------+------------+
| Capital expenditure | | - | 605,519 | 605,519 |
| | | | | |
+---------------------+--+--------------+-----------+------------+
| Depreciation | | - | 489,150 | 489,150 |
+---------------------+--+--------------+-----------+------------+
| Provisions charged | | 9,607 | 23,000 | 32,607 |
+---------------------+--+--------------+-----------+------------+
| Provisions utilised | | 66,000 | 117,990 | 183,990 |
| | | | | |
+---------------------+--+--------------+-----------+------------+
Geographical segments
The Group's operations are all located in the United Kingdom.
3.Earnings per share
+--------------------------------+----------------+----------------+----------------+
| | Six months | Six months | Year ended |
| | ended 31 | ended 31 | 30 June 2008 |
| | December | December | (audited) |
| | 2008 | 2007 | |
| | (unaudited) | (unaudited & | |
| | | restated) | |
+--------------------------------+----------------+----------------+----------------+
| | GBP | GBP | GBP |
+--------------------------------+----------------+----------------+----------------+
| Earnings attributable to | 833,776 | 661,876 | 1,219,091 |
| ordinary shareholders | | | |
+--------------------------------+----------------+----------------+----------------+
| | No. | No. | No. |
+--------------------------------+----------------+----------------+----------------+
| Weighted average number of | 9,982,942 | 9,813,100 | 9,813,100 |
| shares | | | |
+--------------------------------+----------------+----------------+----------------+
| Share issues | 2,500 | - | 10,209 |
+--------------------------------+----------------+----------------+----------------+
| Basic earnings per share | 9,985,442 | 9,813,100 | 9,823,309 |
| denominator | | | |
+--------------------------------+----------------+----------------+----------------+
| Issuable on exercise of | 154,357 | 308,334 | 268,504 |
| options | | | |
+--------------------------------+----------------+----------------+----------------+
| Diluted earnings per share | 10,139,799 | 10,121,434 | 10,091,813 |
| denominator | | | |
+--------------------------------+----------------+----------------+----------------+
| | | | |
+--------------------------------+----------------+----------------+----------------+
| Basic earnings per share | 8.35p | 6.74p | 12.41p |
+--------------------------------+----------------+----------------+----------------+
| Diluted earnings per share | 8.22p | 6.54p | 12.08p |
+--------------------------------+----------------+----------------+----------------+
4.Dividends
+--------------------------------+--------------+----------------+---------------+
| | Six months | Six months | Year ended |
| | ended 31 | ended 31 | 30 June 2008 |
| | December | December 2007 | (audited) |
| | 2008 | (unaudited) | |
| | (unaudited) | | |
+--------------------------------+--------------+----------------+---------------+
| | GBP | GBP | GBP |
+--------------------------------+--------------+----------------+---------------+
| | | | |
+--------------------------------+--------------+----------------+---------------+
| Paid final dividend on | 349,477 | 220,795 | 220,795 |
| ordinary shares | | | |
+--------------------------------+--------------+----------------+---------------+
5 Intangible assets
Intangible assets relate to payments made to key fee earners in return for an
alternative commission structure and deferred payments in respect of the
acquisition of new teams of fund managers.
6.Available- for sale financial assets
+--------------------------------+--------------+--------------+-------------+
| | Six months | Six months | Year ended |
| | ended 31 | ended 31 | 30 June |
| | December | December | 2008 |
| | 2008 | 2007 | (audited) |
| | (unaudited) | (unaudited) | |
+--------------------------------+--------------+--------------+-------------+
| | GBP | GBP | GBP |
+--------------------------------+--------------+--------------+-------------+
| At 1 July 2008 | - | 37 | 37 |
+--------------------------------+--------------+--------------+-------------+
| Additions - UK Government Gilt | 738,393 | - | - |
+--------------------------------+--------------+--------------+-------------+
| Gains from changes in fair | 66,582 | - | - |
| value | | | |
+--------------------------------+--------------+--------------+-------------+
| Provision for the period | - | - | (37) |
+--------------------------------+--------------+--------------+-------------+
| At 31 December 2008 | 804,975 | 37 | - |
+--------------------------------+--------------+--------------+-------------+
7Non-current provisions
+----+----------------------------+--------------+--------------+-------------+
| | | 31 December | 31 December | 30 June |
| | | 2008 | 2007 | 2008 |
| | | (unaudited) | (unaudited) | (audited) |
+----+----------------------------+--------------+--------------+-------------+
| | | GBP | GBP | GBP |
+----+----------------------------+--------------+--------------+-------------+
| | At 1 July 2008 | 53,607 | 204,990 | 204,990 |
+----+----------------------------+--------------+--------------+-------------+
| | Charged to income | 204,930 | 37,500 | 32,607 |
| | statement | | | |
+----+----------------------------+--------------+--------------+-------------+
| | Paid during the period | (68,607) | (47,690) | (183,990) |
+----+----------------------------+--------------+--------------+-------------+
| | At 31 December 2008 | 189,930 | 194,800 | 53,607 |
+----+----------------------------+--------------+--------------+-------------+
Provisions relate to the potential liability resulting from client complaints
against the Group. The complaints are assessed on a case by case basis and
provisions for compensation are made where judged necessary. Complaints are on
average settled within eight months from the date of notification of the
complaint.
8.Reconciliation of operating profit and net cash inflow from operating
activities
+------------------------------------+-----------------+--------------+--------------+
| | 31 December | 31 December | 30 June 2008 |
| | 2008(unaudited) | 2007 | (audited) |
| | | (unaudited & | |
| | | restated) | |
+------------------------------------+-----------------+--------------+--------------+
| | GBP | GBP | GBP |
+------------------------------------+-----------------+--------------+--------------+
| Operating profit | 1,115,475 | 696,339 | 1,711,945 |
+------------------------------------+-----------------+--------------+--------------+
| Depreciation | 135,474 | 88,707 | 194,347 |
+------------------------------------+-----------------+--------------+--------------+
| Amortisation of intangible assets | 108,776 | 133,042 | 294,803 |
+------------------------------------+-----------------+--------------+--------------+
| Financial assets written down | - | - | 37 |
+------------------------------------+-----------------+--------------+--------------+
| Decrease/(increase) in debtors | 404,778 | 333,106 | (99,777) |
+------------------------------------+-----------------+--------------+--------------+
| (Decrease)/increase in creditors | (358,014) | (612,409) | 454,516 |
+------------------------------------+-----------------+--------------+--------------+
| Increase/(decrease) in provisions | 133,198 | (10,190) | (151,383) |
+------------------------------------+-----------------+--------------+--------------+
| Share based payments | 93,222 | 140,410 | 237,969 |
+------------------------------------+-----------------+--------------+--------------+
| | | | |
+------------------------------------+-----------------+--------------+--------------+
| Net inflow | 1,632,909 | 769,005 | 2,642,457 |
+------------------------------------+-----------------+--------------+--------------+
Independent Review Report to Brooks Macdonald Group Plc
Introduction
We have been instructed by the company to review the condensed set of financial
statements in the half-yearly financial report for the six months ended 31
December 2008 set out on pages 2 to 9. We have read the other information
contained in the half-yearly financial report and considered whether it contains
any apparent misstatements or material inconsistencies with the information in
the condensed set of financial statements.
Directors' responsibilities
The half-yearly financial report, including the financial information contained
therein, is the responsibility of, and has been approved by the directors. The
AIM Rules of the London Stock Exchange require that the accounting policies and
presentation applied to the interim figures should be consistent with those
applied in preparing the preceding annual accounts except where any changes, and
the reasons for them, are disclosed.
This half-yearly financial report has been prepared in accordance with the
International Accounting Standard 34, "Interim Financial Reporting".
The maintenance and integrity of the company's website is the responsibility of
the directors; the work we have carried out does not involve consideration of
these matters and, accordingly, we accept no responsibility for any changes that
may have occurred to the condensed set of financial statements presented on the
website.
Legislation in the United Kingdom governing the preparation and dissemination of
financial information may differ from legislation in other jurisdictions.
Our responsibility
Our responsibility is to express to the company a conclusion on the condensed
set of financial statements in the half-yearly financial report based on our
review.
Scope of review
We conducted our review in accordance with International Standard on Review
Engagements (UK and Ireland) 2410, "Review of Interim Financial Information
Performed by the Independent Auditor of the Entity" issued by the Auditing
Practices Board for use in the United Kingdom. A review of interim financial
information consists principally of making enquiries of management and applying
analytical procedures to the financial information and underlying financial data
and based thereon, assessing whether the accounting policies and presentation
have been consistently applied unless otherwise disclosed. A review excludes
audit procedures such as tests of controls and verification of assets,
liabilities and transactions. It is substantially less in scope than an audit
performed in accordance with International Standards on Auditing (UK and
Ireland) and therefore provides a lower level of assurance than an audit.
Accordingly we do not express an audit opinion on the financial information.
Review conclusion
Based on our review, nothing has come to our attention that causes us to believe
that the condensed set of financial statements in the half-yearly financial
report for the six months ended 31 December 2008 is not prepared, in all
material respects, in accordance with International Accounting Standard 34 as
adopted by the European Union.
St Paul's House
Warwick Lane Moore Stephens LLP
LONDON EC4M 7BP
Registered
Auditors
Chartered Accountants
17 March 2009
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR DDLFFKXBEBBX
Brooks Macdonald (LSE:BRK)
Historical Stock Chart
From Jun 2024 to Jul 2024
Brooks Macdonald (LSE:BRK)
Historical Stock Chart
From Jul 2023 to Jul 2024
