The latest results from Ultimate Finance show
the asset-based lender has more than doubled its profit from last
year.
Growth in asset finance business and the
integration of Ashley Commercial Finance, following the acquisition
in late 2010, have helped the company to a £904,000 profit for the
year to 30 June 2011 up from £446,000 for the previous 12
months.
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Other figures released by the AIM-listed
lender showed earnings excluding acquisition, amortisation and
organisation related costs at £1,284,000, up 146%, and a 51%
increase in turnover to £9,706,000.
Clive Garston, chairman of Ultimate Finance
Group, said: “I believe that this is a very strong performance,
particularly given the economic and trading environment which
existed in the period.”
He said the acquisition of invoice finance
business Ashley Commercial Finance in October last year had
strengthened Ultimate’s range of products and services and provided
cross-selling opportunities.
Garston added further investment including
expansion into offices in Birmingham and Cardiff and a
strengthening of the sales team had helped drive the year’s
successes.
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By GlobalDataIn a statement announcing the results Richard
Pepler, chief executive of Ultimate Finance, said the acquisition
of invoice finance business Ashley in October 2010 has enhanced the
group’s performance, contributing eight months of trading in the
financial year.
Pepler added the acquisition had led Lloyd’s
TSB Commercial Finance to increase funding available to Ultimate in
a financing facility to £34m which would provide further capacity
for growth.
Pepler said the company’s SME client base was
a contributing factor in the profit increase.
He said: “Whilst the economic climate has
undoubtedly been challenging, this has created opportunities for
the Group, as we are able to offer SMEs funding that would be
difficult, or in some cases impossible, to achieve through
traditional means.”
He added the company would continue to focus
on lending to SMEs but stressed careful risk management:
“With banks continuing to keep a tight rein on
lending and many more businesses looking for alternative, flexible
solutions, we have continued to see a rise in the number of
enquiries.
“However, we continue to be selective in
taking on clients, applying strict underwriting procedures and
avoiding taking unnecessary risks.
grant.collinson@vrlfinancialnew.com
