Headline figures failed to reflect a solid underlying performance from financial advisor and product provider Mattioli Woods . In fact, adjusted pre-tax profits edged up £100,000 to £5.06m after adding back one-off costs and a higher goodwill amortisation charge following recent acquisitions. However, with analysts at Canaccord Genuity expecting 2013 adjusted EPS of 22.5p, up from 22p in the year to May 2012, there is little room for a re-rating with earnings flat lining.
Turnover rose by a third thanks to a full-year contribution from employment benefit and wealth management specialist Kudos, which contributed revenue of £4.27m. It also added £530m to assets under administration and advice which rose from £2.3bn to £3.02bn. Most of these comprise self-invested personal pensions (Sipp)s and small self-administered schemes (Ssas) which account for nearly 40 per cent of group revenue, of which over 85 per cent is recurring. And the group won 310 new schemes, up from 248 a year earlier, while client retention remains strong.
Kudos also helped to boost employee benefit revenue six-fold to £3.53m, and increased wealth management revenue by 47.4 per cent to £6.62m. A full-year contribution from City Pensions - acquired in August 2010 - also increased pension scheme fee revenue by a quarter to £0.78m. In addition, Mattioli Woods won regulatory approval for its portfolio management service, which will provide advice on a discretionary basis.
| MATTIOLI WOODS (MTW) | ||||
|---|---|---|---|---|
| ORD PRICE: | 200p | MARKET VALUE: | £36.4m | |
| TOUCH: | 195-205p | 12-MONTH HIGH: | 260p | LOW: 165p |
| DIVIDEND YIELD: | 2.8% | PE RATIO: | 12 | |
| NET ASSET VALUE: | 140p* | NET CASH: | £5.1m | |
| Year to 31 May | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2008 | 10.8 | 3.51 | 14.3 | 3.00 |
| 2009 | 13.3 | 3.90 | 15.7 | 3.90 |
| 2010 | 13.7 | 4.27 | 17.2 | 4.35 |
| 2011 | 15.4 | 4.55 | 18.9 | 4.95 |
| 2012 | 20.5 | 4.18 | 17.1 | 5.55 |
| % change | +33 | -8 | -9 | +12 |
Ex-div: 5 Sep Payment: 23 Oct *Includes intangible assets of £23.1m, or 127p a share | ||||
