Begbies Traynor look to grow Manchester team after strong trading results
Business recovery consultancy Begbies Traynor will look to grow their Manchester presence on the back of strong trading results.
For the year ending April 30 the Deansgate based firm saw revenues rise to £52.4m up from £49.7 in the previous period.
Profit before tax was £5.6m up from £4.9m.
The firm also managed to reduce debt levels to £7.5m from £10.3m.
The performance means investors will see a nine per cent increase in total dividend for the year, the first increase since 2011.
On the back of the results bosses say they are on the acquisition trail and will grow their advisory team in Manchester.
The team which includes corporate finance, forensic accounting and management consultancy contributes £5m to the turnover across the UK.
Ric Traynor, executive chairman of Begbies Traynor Group, said they are now looking at bolstering the Manchester unit – creating 20 jobs over the next two years.
He said: “Manchester is a vibrant economy and I think we can replicate the success we have had in London with the advisory team here.”
Begbies Traynor currently has 90 staff in Manchester and 40 other offices across the country.
Asked about the main drivers behind the business restructuring arm, which is responsible for two thirds of the turnover, Traynor pointed to retail, hospitality and construction.
He said: “Retail has been an area where there has been a lot of volume – while in hospitality mid-sized bar and restaurant chains are suffering because of high competition and lower spending.”
However, he said that the South East had seen the biggest knock-on effect of these struggling businesses while Manchester ‘had recovered well’ comparatively.
Speaking of the results as a whole he added: “It is pleasing to report a further year of progress in developing the group, during which we have continued to deliver earnings growth, reflecting the benefit of the strategic investments we have made in recent years.
“We have also proposed our first increase in the group’s annual dividend since 2011 and at the same time have reported our lowest net debt since 2007.
“We anticipate continuing our track record of earnings growth in the new financial year, with the benefit of a full year contribution from our recent acquisitions together with growth from our ongoing investments.
“Overall, we remain in a strong position to invest in further opportunities given our financial resources, in line with our strategy to grow both organically and through selective acquisitions.”