AJ Bell reveals profit surge ahead of IPO

AJ Bell has revealed a 31% rise in pre-tax profit and a 19% increase in revenue ahead of its plans to float on the London Stock Exchange.
Assets under management have increased 16% to reach £46.1bn, up from £39.8bn at the end of September 2017. The increase was driven by a boost to customers using its platform, which has grown by 30%.
AJ Bell had previously announced plans to float, but have today formalised those plans.
AJ Bell chief executive Andy Bell says: “A listing offers us further reputational and commercial benefits that will support our growth plans. We have a history of profitability, cash generation and dividends and this is once again demonstrated in our latest full-year results.”
Customer Platform numbers have increased over the last few months to almost 200,000; the boost in numbers is likely to have been increased further by the company’s decision to give retail investors access to its IPO this year.
The Company intends to float at least 25% of its shares and will publish more details of the offer on or around 27 November 2018.
AJ Bell says: “Our platform technology is consistently improving to support the planned growth of the business and provide a reliable, easy to use service for clients. We continue to invest significantly in technology to ensure the platform remains secure, flexible and scalable.
“The business took the decision some time ago to re-platform and the stability of its digital architecture and its ability to introduce innovative new services represents a material advantage compared to a number of other platforms that have undergone upgrades of their technology or re-platforming in recent years.”
Gunner & Co. work with IFAs looking to sell their business, and can give you more information if you wish – contact louise.jeffreys@gunnerandco.com