- New business results for 2016 show profits increased by 260%
- Total sales for same period increased by one third
Glasgow based SIPP and SSAS provider, @sipp, today announced a near four-fold increase in profits for the year ending 31st March 2017. The increase in profit before tax from £70,000 to £250,000 reflects a 260% jump and demonstrates the business’ continued focus on delivering the growth strategy outlined in 2015 aimed at building future shareholder value.
During the same period, total revenues for @sipp were £2.7 million compared to £2.1 million in March 2016. In addition to this, the business also increased its new customer numbers by 28%, reflecting a continued focus, and invest in, sales and technical expertise across the firm.
Following the strategic acquisition of Essex based SSAS firm, Alfa Trustees, in June 2016, the business now has an enhanced presence and proven expertise in the UK SSAS market with SSAS accounting for 10% of overall revenue.
Commenting on the results managing director Eddie McGuire said:
“The substantial increase in our profits announced today demonstrates the strength and scale that we have built in recent years and we are confident this growth will continue. Our business is well capitalised and will, we believe, be one of a small number of profitable full SIPP providers in the UK market in the future. With robust revenues and lapse rates significantly below the industry average, we are well positioned to capitalise on the continued growth in today’s SIPP market fuelled by legacy Defined Contribution and Defined Benefit transfers and the broader pensions’ freedoms regime.”
The firm also recently unveiled its plans to develop in the south west of England, with the appointment of Lisa-Marie Finch to the position of business developer manager. The newly created role will enable @sipp to capitalise on growth opportunities within this region.
Also commenting on the results, chairman Colin Barral added:
“The results we are announcing today are especially pleasing against a backdrop of consolidation within our industry. The fact our profits have increased so significantly reflects all the hard work Eddie and the team have put in to build real scale within our business and, thanks to our robust business model, we expect our business growth and profits to continue this positive trajectory.
As expected, this strong growth has led to several approaches from other market players but we remain committed to our strategy of organic growth supplemented by possible tactical acquisitions which we continue to monitor.”