Wealth management firm sees revenues, profits and assets grow

Paddy Lewis

Manchester-based international wealth management firm Artorius Wealth has seen revenues, profits and assets under management all increase in its latest financial year, to April 30, 2022.

Revenues of £8.3m were an improvement on the £6.2m figure for the previous year.

Pre-tax profits of £1.6m represented a turnaround from the prior year’s £500,000 pre-tax loss. Adjusted EBITDA was £500,000, compared with £100,000 in 2021.

Assets under management (AUM) were £1.5bn, up from £1.37bn the year before.

The directors said they are pleased with continual progression on turnover and development of the client offering, while maintaining control over administrative expenses.

Adjusted EBITDA has improved significantly over a three-year period.

The business continues to invest in people and technology to support the future growth of its service to family offices and high net worth individuals across the UK.

In spite of the increasing investment over the past two years, the group said it has been operationally profitable.

The increase in net revenues reflect the continued growth in assets under management and recurring revenue now accounts for 88% of total revenue.

The directors said they remain pleased with the quality of the income and client relationships with individuals and families seeking long term, independent partners to provide wealth planning, family governance and oversight, and investment solutions.

AUM increased organically, mainly from client inflows and investment performance within the discretionary, advisory and family office offering, as well as superior investment return relative to the peer group as measured by Asset Risk Consultants.

This follows strong growth of around £350m in the prior year, also.

Administrative costs were £7.7m, an increase of 28% or £1.7m year on year, reflecting the relocation of the London office, investment in the family office proposition and IT platforms, as well as a number of strategic hires to support the group’s five-year plan.

Full time employees increased by 14 to 57 by the financial year end, with 13 further staff hired in the subsequent financial year.

AUM stand at £1.6bn as at September 30, 2022, with offices located in Manchester, Yorkshire and London.

Chief executive, Paddy Lewis, welcomed the momentum seen over the past three years. He said: “Artorius’s ability to navigate clients through complex wealth planning issues, source the best in breed investment products and services, and meet client requirements in credit structuring, family office reporting, governance, and investment oversight, is clearly a differentiator.”

Ian Bennett, group finance director, said: “The business continues to see strong demand for high quality wealth planning and advice within high net worth families. A 46% increase in our UK revenues underlines the hard work and success we have enjoyed over the last 12 months.

“We have invested significantly into hiring to ensure that we can maintain that level of growth, whilst building a resilient operating model to deliver a high quality, long term wealth management business.”