Smith & Williamson has reported a return to 2015-level performance in the group’s operating income and adjusted operating profit during the six months to 31 October 2016, underpinned by growth in its investment management and banking division as well as its tax and business services division
The firm, ranked at number eight in Accountancy’s league table, said group operating income for the six month period was to £117.5m, up 10% compared to the equivalent period in the prior year (£106.5m). In March 2016, the firm had reported a 24% fall in operating profits.
Adjusted operating profit grew to £17.7m, a 22% rise compared to the equivalent period in the prior year (£14.5m).
Over the six months, profits in its investment management and banking division were up 21%, while tax and business services increased to £2.4m (£1m in 2015).
Smith & Williamson previously reported a 3.4% rise in operating income to £222.5m for the year ending 30 April 2016, around half the previous year’s increase, during what the firm described as a sustained period of investment in client teams and infrastructure enhancements which had an impact on profits.
Kevin Stopps, co-chief executive of Smith & Williamson and managing partner of tax and business services, said: ‘We are delighted that both sides of our business delivered so strongly in the first half of the year, despite the uncertainty around the UK referendum, positioning us well for a healthy conclusion to the financial year.
Stopps indicated the firm is considering strategic acquisitions going forward.
