FRP Advisory describes group-wide profitable growth

(Sharecast News) - Specialist business consultancy FRP Advisory Group reported profitable growth across all five of its service pillars in a full-year trading update on Monday. The AIM-traded company said it expected to report revenues of £104m for the 12 months ended 30 April, making for a 9% year-on-year increase.

Additionally, the adjusted underlying EBITDA was projected to be £27m, making for a 5% increase and slightly exceeding current market consensus.

The group said its balance sheet remained robust, with an unaudited net cash balance of £22.9m at year-end, compared to £18.1m a year earlier.

FRP also had an undrawn revolving credit facility of £10m with Barclays Bank, enabling it to quickly pursue acquisitions that align with its criteria.

Based on its trading performance and strong balance sheet, FRP said it was intending to propose a final dividend in line with its dividend policy.

"The group made excellent progress in the financial year to 30 April, continuing to execute our growth strategy," said chief executive officer Geoff Rowley.

"The results achieved are an ongoing testament to the quality of our colleagues and their continued efforts to provide a high-quality service, in order to achieve the best possible results for our clients.

"Whilst the UK economy continues to be impacted by uncertainty, FRP remains well placed to serve our clients across the entire economic life cycle and we will continue to invest to ensure we are able to develop our team and client offerings."

Rowley said recent activity levels had been encouraging, adding that FRP started its new financial year with confidence.

"The medium-term outlook for our markets remains positive and we have sufficient resource flexibility to respond to an increase in demand for our services.

"The board is confident of making further progress in the current financial year."

FRP Advisory said it would report its audited results for the full year ended 30 April on 26 July.

At 1119 BST, shares in FRP Advisory Group were up 2.79% at 113.84p.

Reporting by Josh White for Sharecast.com.