Adviser firms deliver £1m profits to Honister Capital

The advisory businesses acquired by Honister Capital in 2009 helped the business turn a £2.2m profit earlier this year and boosted the group's capital position.

Sage Financial Services, Burns-Anderson and Honister Partners (formerly Bates Investment Services) delivered £1.022m profit, with direct-to-consumer proposition Willis Owen contributing £1.17m, in the six month period to 31 March.

The company also has a positive cash balance of £12.5m and says it is free of bank debt, even returning £0.7m of unused short term borrowing facilities.

This follows positive figures for the group's first three months' trading last year, in which Honister made an operating profit of £1.5m with £1m coming via the advice businesses.

Honister Capital was launched in June 2009 after acquiring the shares of The Money Portal's advisory businesses: Burns-Anderson, Sage and Willis Owen, as well as the principal assets of Bates Investment Services.

"Our advisory business remains resilient in a sector that has seen more than its share of challenges," Honister Capital CEO Mark Lund says.