View more on these topics

Towry posts £9m profit despite £6.8m cost hit

Towry chief executive Andrew Fisher

Towry has posted a £9.4m pre-tax profit for 2012 despite incurring £6.8m in exceptional costs during the year.

The pre-tax profit rose 14 per cent from £8.3m in 2011. Exceptional costs increased 52 per cent from £4.5m in the previous 12 months.

Towry’s annual accounts, published this week, reveal the exceptional costs include a Financial Services Compensation Scheme levy of £1.8m and £3m in relation to the closure of its Londonderry, Norwich and Oxford offices.

Towry made 13 staff redundant as a result of the closures.

There is also £171,000 in litigation costs resulting from the firm’s unsuccessful court case against Raymond James and seven former Edward Jones advisers as well as £1.4m in professional fees.

Towry’s 2011 accounts revealed the firm has already spent £2.3m on the court case.

This year’s accounts show the firm’s total number of employees fell 13 per cent to 658 from 741 in 2011.

The highest paid director received £290,000, including pension contributions in 2012, an increase of 2 per cent from £285,000 the previous year.

Last month, Towry chief executive Andrew Fisher said the firm plans to significantly grow the business through acquisitions in 2013. 

Towry chairman Gerald Corbett says: “Towry is well positioned to benefit from ongoing change in the industry and to act as a consolidator using its management expertise, business model and operational infrastructure to transition profitable advisory businesses to the new regulatory environment.”

Bradbury Hamilton managing director Sheriar Bradbury says: “As long as Towry’s model does not come under any regulatory pressure I think it will continue to post bigger and bigger profits.”


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm