AssetCo PLC on Wednesday said its half year loss widened as expenses grew, but saw revenue multiply.
The London-based asset management fund said pretax loss for the six months ended March 31 widened to £13.5 million from £2.6 million a year prior. This was attributed to administrative expenses, which multiplied to £17.0 million from £5.3 million. AssetCo said £3 million worth of administrative expenses was made up of one-off costs related to restructuring.
Revenue, however, more than tripled to £8.3 million from £1.3 million, related to a contribution from Parmenion, which generated a revenue of £20.6 million and adjusted earnings before interest, tax, depreciation and amortisation of £9.1 million.
Looking ahead, AssetCo said it remains on track to ‘deliver significant cost savings’ by the end of the financial year, and continues to see ‘numerous avenues for profitable growth.’
Chair Martin Gilbert said: ‘The group generally suffered outflows over the period, when inflows had been the expectation. The general rise in markets has cushioned the effect to some extent, but it is fair to say that we remain behind where we want to be in terms of asset growth.’
Shares in AssetCo were down 5.9% at 48.00 pence each in London on Wednesday morning.
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