Charles Stanley has said it is “cautiously optimistic” for the year ahead after a strong performance in the fourth quarter.
Total funds under management and administration (FuMA) for the three months ended 31 March rose two per cent to £25.6bn, helped by positive market performance.
The London listed firm’s average FuMA over the financial year slipped 4.1 per cent from £24.2bn in the previous financial year to £23.2bn, due to the pandemic-induced market volatility.
“Charles Stanley has delivered a notably resilient performance since the onset of Covid-19 just a year ago,” chief executive Paul Abberley said. “Revenues have held up well across all divisions, supported by our focus on excellent client service, and costs have been well controlled.”
Revenue for the year remained stable at £171.2m helped by a 3.2 per cent rise in fee income while commission income climbed 1.5 per cent. Charles Stanley said this helped to offset a nearly 70 per cent reduction in interest income due to lower interest rates.
It represents a significant improvement on Charles Stanley’s previous results which saw a decline in funds under management dragging down revenue.
The group reported revenues fell 4.1 per cent to £81.9m in the first half of the year, reflecting the impact of the pandemic on funds under management and administration (FUMA) and lower interest rates.
“We are cautiously optimistic that the worst of the pandemic is behind us and we expect to make further progress in the year ahead,” Abberley added.
Shares are trading 0.8 per cent higher this morning.