Begbies Traynor hit by less insolvencies

AIM-listed insolvency consultancy Begbies Traynor said revenues for the half year were hurt by a subdued summer insolvency market.

AIM-listed insolvency consultancy Begbies Traynor said revenues for the half year were hurt by a subdued summer insolvency market.

Adjusted pre-tax profit fell to £3.2m for the six months ended October 31st 2012 from £4.1m the year before. Revenue for the period fell to £26.1m from £29.4m previously.

Pre-tax profit reduced to £2m from £3.4m before while adjusted basic and diluted earnings per share from continuing operations fell to 2.5p from 3.1p in 2011.

Begbies has recommended an interim dividend of 0.6p unchanged from a year earlier.

Commenting on the results, Executive Chairman Ric Traynor said: "Challenging market conditions have persisted with lower levels of activity in the insolvency market over the summer months."

"Overall, this led to a group performance with lower revenues and profits than the comparative period. In spite of this, the business remains profitable and continues to generate good operating margins through on-going management of the group's cost base."

Begbies said it expects UK corporate insolvencies to remain broadly stable.

Looking ahead the group added: "We anticipate an improvement in activity in the second half of the financial year during the traditionally busier winter months. Given this, we currently anticipate that the group's performance for the year as a whole will be broadly in line with last year."

Net debt stood at £18.3m from £20.1m in April this year and down from £27.3m the same time last year.

CJ

Recommended

The ten highest dividend yields in the FTSE 100
Income investing

The ten highest dividend yields in the FTSE 100

Rupert Hargreaves takes a look at the companies with the highest dividend yields in the UK’s blue-chip index
6 Feb 2023
The outlook for Shell shares is mixed, despite bumper profits
Energy stocks

The outlook for Shell shares is mixed, despite bumper profits

With profits surging, it looks as if Shell is on a roll, but the company’s growth from here is hard to see as Rupert Hargreaves explains.
6 Feb 2023
The top funds to invest in
Funds

The top funds to invest in

As market volatility and recessionary fears continue, here are the most popular funds, stocks and trusts investors are putting their money into accord…
2 Feb 2023
The top ten dividend stocks in the FTSE 250
Share tips

The top ten dividend stocks in the FTSE 250

The average FTSE 250 dividend yield is around 4%, but many stocks yield much more. Rupert Hargreaves picks the best FTSE 250 stocks for income investo…
17 Jan 2023

Most Popular

Share tips of the week – 3 February 2023
Investments

Share tips of the week – 3 February 2023

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages
3 Feb 2023
The best one-year fixed savings accounts - February 2023
Savings

The best one-year fixed savings accounts - February 2023

Earn almost 5% on one-year fixed savings accounts.
6 Feb 2023
Will energy prices go down in 2023?
Personal finance

Will energy prices go down in 2023?

Wholesale gas prices are on a downward trajectory, but does this mean lower energy bills later this year?
6 Feb 2023