Honister Capital’s advisory businesses made a £710,000 loss in the six months to March 31, amid a management shakeup and strategy, product and commercial development director Alan Easter’s departure from the firm, as revealed in this week’s Money Marketing.
According to Honister’s trading figures, the group made an operating profit of £468,000 in the period, down from £2.2m in the six months to March 31, 2010.
The advisory businesses, which include Burns Anderson, Sage Financial and Honister Partners, made a combined operating loss of £710,000, compared to an operating profit of £1m in 2010.
Direct to consumer business Willis Owen made an operating profit of £1.18m, down slightly from £1.2m in 2010.
A management shake-up sees managing director of advisory Frank Gorrie appointed to the Honister Capital board, while product and marketing director Jason Chapman and client and employee services director Lynn Smith have been appointed to the executive management team.
Easter is leaving the group to pursue other business opportunities.
Chief executive Richard Pearson says: “During the last six months we have seen the impact of higher regulatory costs and professional indemnity insurance premiums. Trading in the advisory business has been particularly challenging during this period. The board has begun to take steps to improve profitability and we will see the benefit of those actions as we head into our next financial year.
“After five years at the heart of the executive management team of our business, Alan Easter has decided to leave Honister Capital to pursue other business opportunities. I have worked closely with Alan throughout and would like to take this opportunity, on behalf of the Board, to thank him for his valuable contribution to establishing Honister as a leading business in our sector.”