Sunday, July 12, 2020

Revenue and profit up at Mortgage Advice Bureau

Revenue and profit are on the rise at Mortgage Advice Bureau, according to a summary of unaudited results for the year ended 31 December 2019.

Revenue is up 17% to £143.7m from £123m in 2018, while gross profit has grown 28% to £36.4m from £28.4m. Profit before tax and acquisition-related costs meanwhile is up 19% to £18.7m from £15.6m.

Adviser numbers increased by 20% in the year, including 82 Advisers from the acquisition of First Mortgage Direct.

In regards to the coronavirus pandemic Mortgage Advice Bureau said: “It is too early to predict what the impact of the Coronavirus pandemic will be on the Group’s results, but we do anticipate an inevitable disruption to trading in the coming months and an associated impact on our results for the full year.

“We are starting to see a decline in new appointment activity in the purchase market, and expect this trend to continue as the Government has imposed further restrictions on social activity.

“Consequently, despite the strong start to the year, we have factored into our planning and expectations a considerable reduction in purchase related activity, which we expect to have a consequential impact upon adviser numbers and productivity. We expect volumes to continue as anticipated in the re-mortgage and product transfer markets.”

Staff are now working remotely.

Peter Brodnicki, Chief Executive, said: “Over 20 years we have built a high-quality distribution network, a leading consumer brand, and an exceptional management team that continues to adapt quickly to our new ways of working. The Group has a strong balance sheet, is cash generative and enjoys a healthy surplus over its regulatory capital requirement.

“To give ourselves additional flexibility to capitalise on potential opportunities quickly, we drew down the full £12m limit on our Revolving Credit Facility on 20 March 2020. We are in a stronger position than many to deal with the challenges that lie ahead and are confident in our ability to continue growing our market share, with a specific additional short-term focus on re-mortgages and product transfers.

“MAB has a clear strategy and we continue to strengthen our proposition. During this pandemic our priority is to redeploy our resources where possible to focus on lead generation, telephone advice and remote working.

“We remain very optimistic about MAB’s growth prospects in the medium to long term and intend to be in a strong position to react quickly and take full advantage of the opportunities that will present themselves in the future.”

A message from the Editor:

Thank you for reading this story on our news site - please take a moment to read this important message:

As you know, our aim is to bring you, the reader, an editorially led news site and magazine but journalism costs money and we rely on advertising, print and digital revenues to help to support them.

With the Covid-19 lockdown having a major impact on our industry as a whole, the advertising revenues we normally receive, which helps us cover the cost of our journalists and this website, have been drastically affected.

As such we need your help. If you can support our news sites/magazines with either a small donation of even £1, or a subscription to our magazine, which costs just £33.60 per year, (inc p&P and mailed direct to your door) your generosity will help us weather the storm and continue in our quest to deliver quality journalism.

As a subscriber, you will have unlimited access to our web site and magazine. You'll also be offered VIP invitations to our events, preferential rates to all our awards and get access to exclusive newsletters and content.

Just click here to subscribe and in the meantime may I wish you the very best.






Latest news

New contractor sought as Coalville Newmarket construction pushed forward

North West Leicestershire District Council (NWLDC) is looking to appoint a new contractor to finish the nearly-complete Newmarket in Coalville. Westone Housing Ltd had been...

University Centre completes in Grantham

Work to create a University Centre to deliver higher education and skills training in Grantham is now complete. Degrees, high-level apprenticeships, diplomas and short courses...

Leicester’s City Mayor lobbies Government for extra business support

Leicester's City Mayor is lobbying Government to provide more support to local businesses after it emerged the Government does not intend to provide extra...

Success in adaptation – stories shared: By Fiona Duncan-Steer, founder of RSViP

Fiona Duncan-Steer, founder of RSViP Business Networking Agency, discusses adaptation in lockdown. Topics I have been immersed in recently, as I am sure many of...

New partnership to link good causes, businesses and radio

Derbyshire-based Investors in Community has joined forces with LLR Media (Love Local Radio Media) to form a new partnership. The charitable giving platform helps to...

Related news

Improvement notice served to Rolls-Royce after safety breaches at Derby site

The Office for Nuclear Regulation (ONR) has served an Improvement Notice on Rolls-Royce Submarines Ltd (RRSL) for procedural safety breaches at its Derby site. The...

New contractor sought as Coalville Newmarket construction pushed forward

North West Leicestershire District Council (NWLDC) is looking to appoint a new contractor to finish the nearly-complete Newmarket in Coalville. Westone Housing Ltd had been...

University Centre completes in Grantham

Work to create a University Centre to deliver higher education and skills training in Grantham is now complete. Degrees, high-level apprenticeships, diplomas and short courses...

Leicester’s City Mayor lobbies Government for extra business support

Leicester's City Mayor is lobbying Government to provide more support to local businesses after it emerged the Government does not intend to provide extra...

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close