Wealth management firm’s results to show 15% growth

WEALTH management firm AFH expects its full-year revenues to be up by at least 15% after funds under management passed £2bn.

The Bromsgrove firm has said revenues will be above £24m for the year to October. 

Alan Hudson, chief executive of AFH, said: “I am encouraged by the strong progress we are continuing to see. AFH continues to be active in the market to acquire good quality IFAs but remains focussed on ensuring shareholder value. The success and robustness of this policy is reflected in the high level of acquisitions meeting or approaching earn out targets and the strong cash flow generated by the business to finance these earn out liabilities.”

During the year the Company paid over £4m in earn out consideration at an average level above 90% of the maximum price negotiated for acquisitions undertaken during prior years, which is said reflected “the strong performance of the acquired businesses within AFH”.

It also completed the acquisition of the assets of CRS Financial Planning, an East Anglian based IFA. The deal, for a maximum consideration of £660,000, added £25m to AFH’s funds under management.

 

In a statement to the stock market, the company said: “The results will confirm the Company’s financial strength, its ability to successfully integrate acquisitions and its acquisitions model, which is self-financing throughout the deferred payment period following the initial cash outlay.”