Profit boost for debt manager Fairpoint
LANCASHIRE’S Fairpoint Group, which provides debt advisory services to people in financial trouble, has recorded a leap in full-year pre-tax profits.
The Chorley-based group said revenue grew by 33% to £34.3m in the year to the end of December.
The AIM-listed company moved from a £1m pre-tax loss last time to a profit of £10.4m.
It said revenues from individual voluntary arrangements (IVAs) grew by 4% to £19m, before exceptionals, while debt management plan revenues grew 5% to £5.6m.
Fairpoint announced today that it had bought tow books of more than 2,000 debt management plans for £900,000, and there was an “encouraging pipeline of further acquisition opportunities”.
Chief executive Chris Moat said: “I am pleased to report a strong set of results for 2012, with a marked improvement in financial, operating and cash flow performance. Fairpoint has continued its strategy of diversifying its income streams and has grown its revenues and profitability in what continue to be subdued market conditions.
“We expect to make continued progress in 2013 and beyond, from a strengthened financial position, through further development of our claims management services offering, tight cost control and back book acquisition activity. The board’s expectations for the current year, therefore, remain unchanged.”
