Lighthouse Group has reported profits of £1.53m in 2010, mostly due to the sale of its pensions division.
Profits were bolstered by the sale of its pensions division for £1.24m as well as a £161,000 tax credit. Pre-tax profit stood at £129,000, compared to £93,000 in 2009.
The IFA group saw revenues rise 4 per cent to £63.1m, while recurring revenues increased 7 per cent to £17.6m. Operating profits fell slightly from £14.7m to £14.4m.
Lighthouse has reported almost a 10 per cent fall in adviser numbers from 896 to 810. In the statement, the firm says: “As things stand, many advisers are expecting to have to leave the industry at the end of 2012, whether due to insufficient time to secure the new qualification requirements or expected economic pressures. There is presently little sign of new professionals arriving in any significant volumes.”
The group is also continuing with retail distribution implementation programme. It says 73 per cent of the group’s advisers are either qualified or are on course to do so.
Lighthouse Group executive chairman David Hickey (pictured) says: “”The Board is pleased with the group’s strong performance during the year. In particular, we have improved profitability and added to our already significant cash resources. During the period we have also focused on improving the quality of earnings by further increasing recurring revenues.
“We are pursuing both organic growth through developing our affinity relationships, as well as continuing to assess acquisition opportunities.”