EQ Investors chair John Spiers attributed the slowdown in growth and drops in profits to equity markets falling in 2022 and remaining at lower levels throughout the financial year.
According to Companies House filings, the firm's operating profit also nearly halved during the year, from £1.3m at the end of April 2022 to £780,696 last year. Assets under management have broadly remained unchanged from April 2022 at £1.7bn.
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The number of staff increased by four to a total headcount of 69, leading to higher costs associated with wages and salaries. At the same time, overall directors' remuneration increased during the year by around £70,000 to more than £1.3m.
Dividends paid throughout the financial year nearly doubled, from £500,000 in 2022 to £900,000 by the end of April 2023.
EQ Investors chair John Spiers attributed the slowdown in growth and drop in profits to equity markets falling in 2022 and remaining at lower levels throughout the financial year. Such a backdrop impacted AUM, which remained flat.
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«The average AUM in 2022 was higher than the current year, resulting in a fall in revenue in the year,» he said.
«This, combined with inflationary increases in overheads, has meant a fall in profits this year. In spite of this difficult trading environment, we were pleased to see negligible staff turnover and loss of clients.»
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