JTC has announced strong revenues and further growth in profits for the first half of 2021, as detailed in its latest set of interim results, published today (21 September).
The results show that JTC, which is listed on the London Stock Exchange and a member of the FTSE 250 Index, grew revenue by 24.8% compared to the same period last year to stand at £67m as of 30 June.
Additionally, underlying profit was up 22.6% to £21.9m year-on-year, whilst annualised new business wins totalled a record £10.3m, representing an increase of 19.8% compared to the first half of 2020. The company also revealed that it won its largest ever mandate during the period, an engagement worth c. £2.5m per year to provide services to a major global financial institution.
Other strategic highlights noted in the results include an improvement in profitability of the Institutional Client Services (ICS) division – alongside good growth in revenue and business wins – and continued strong performance in the Private Client Services (PCS) division, including new business wins and planned investment in new hires and the further development of services.
JTC has also continued its role as an active consolidator, acquiring the market leading employer solutions business RBC cees and specialist depositary, AML and ESG services business INDOS Financial. In April the Group secured £65.9m from investors through a successful equity fund raise and last week announced the acquisition of Segue Partners, a US fund services business. Concurrent with today’s results, JTC has also announced the acquisition of Ballybunion Capital, an Irish Management Company (ManCo) and fund services business based in Dublin.
In July, the company awarded £20m of JTC shares to all employees globally in recognition of strong financial performance since listing in 2018. JTC’s innovative shared ownership model is now in its 24th year and has so far created more than £350m of value for employee-owners.
Nigel Le Quesne, Chief Executive Officer of JTC PLC, said:
“We are very pleased with progress made in the period, which is the first six months of our new Galaxy Era business plan. The core business performed strongly despite the ongoing market challenges and it was particularly pleasing to see margin improvement in the ICS Division, continued strong performance from the PCS Division and a strong flow of new business wins, including our largest ever single mandate.
“We are delighted with our acquisitions of RBC cees and INDOS and the pace of integration of those businesses onto our global platform. The post period end acquisitions of Segue in the US and Ballybunion in Ireland further demonstrate the momentum of our disciplined inorganic growth strategy. Most importantly, our people and culture remain at the heart of JTC’s success and we were proud to make a post period award of £20m in JTC shares to all our people globally, reflecting the substantial growth of the business since IPO in 2018. These results demonstrate the continued resilience of our business, which I am delighted to report, continues to deliver profitable growth and consistent returns for all our shareholders.”
The full set of interim results can be found here: https://otp.tools.investis.com/clients/uk/jtc_group/rns/regulatory-story.aspx?cid=2365&newsid=1510288.