WH Ireland reduces losses in ‘difficult year’

WH IRELAND trimmed losses by £400,000 to £2.1m after axing more than 40 jobs in what was described as a “particularly difficult year” for the stockbrokers.

The AIM-listed Manchester firm, whose Midlands base is in Colmore Row in Birmingham, said turnover in the year to the end of last November had fallen 8.2% to £24.6m as a result of a “drought” of corporate finance deals such as AIM flotations and a general lack of confidence in the market.

Chief executive Richard Ford said it had been a “turnaround” year for the business and that tough decisions had had to be taken during a restructuring process which had resulted in 43 job losses as part of a drive to save the business more than £2m a year.

He said the business was now in good shape and there would be no need for further cuts.

“Our restructuring programme has reduced our cost base in line with our business objectives, leaving us well placed to take advantage of any improvement in economic conditions.”

Duruing the year Ireland cut its stake in its loss-making Australian subsidiary from more than 75% to 37%.

Including the results from the Australian business – the group made a loss before tax of £2.4m against £4m last year.

Ireland is focused on private client wealth managment and securities – coporate finance and corporate broking.

Looking ahead Mr Ford said there are are “genuine signs of improvement in the corporate pipeline” in the securities business.

Chairman Rupert Lowe added: “We remain cautious in our outlook, particularly with an impending election and the possible change of Government.
“With this further uncertainty in mind, it is likely that markets will continue to be volatile and whilst wealth preservation remains key, it is increasingly difficult to achieve in a low interest environment.  

“However, we have a well managed business on a solid footing with an appropriate cost base and are working hard to protect and enhance the interests of our clients, both private and corporate.”