IFG profits rise 26.6% to €3.45m

 

Financial services group IFG is set to continue to double earnings per share every three years, says chief executive Mr Richard Hayes. Growth had been achieved over the past eight years, he said, as interim results showed a 26.6 per cent growth in profit before tax and goodwill amortisation, to €3.45 million (£2.72 million) from €2.72 million (£2.14 million) in the six months ended June 30th, 2000.

"The pace of acquisitions will increase," he told The Irish Times. Opportunities existed to build its business in the UK, in areas in which it was not already represented, he added.

The latest results show a 35 per cent rise in sales from its continuing activities, to €18.61 million from €13.77 million.

The shares rose six cents to €1.68, following publication of the results.

Recurring income rose by 30.6 per cent from €2.79 million to €3.64 million while adjusted earnings per share rose to €6.92 from €5.43. The interim dividend is being doubled from 32 cents to 63 cents.

IFG said this increase reflected its objective to even out the difference between the interim and final dividends, and the final was unlikely to be increased.

All the divisions, with the exception of Internet Technology where losses rose to €286,000 from €227,000, increased their profits.

The new CID (company information direct) service in which the group has a 50 per cent stake was launched at the end of June. It now has 750 companies and 2,043 registered users and these are growing at 80 per month.

The group's biggest division, financial services, increased sales to €13.1 million from €9.55 million and operating profit to €3.28 million from €2.55 million. International trustee and corporate services increased its sales to €3.94 million from €3.13 million while operating profit grew to €602,000 from €447,000.