Begbies trading in line with expectations but insolvency continues to struggle
BEGBIES TRAYNOR claims its latest third quarter trading update is in line with expectations.
However, the firm said market conditions remain challenging with the decline in corporate insolvencies in the last year to 20,580 from 21,858.
The firm’s performance was in line with the board’s expectations and is consistent with the performance reported in the half year results in December 2012. It also said net debt was also within its banking facilities.
Ric Traynor, (pictured) chairman of Begbies Traynor, said: “The group has continued to report good, sustainable levels of profitability whilst maintaining a sound financial position. Overall the insolvency market remains challenging, despite the impression given by a number of high profile retail administrations since Christmas.”
At the end of last year the firm published its half-year results which showed that profit before tax had fallen to £2m from £3.4m for the six months to 31 October 2012. Revenues were also down to £26.1m from £29.4m compared to the 2011 half year results.
It also reduced its staff in the insolvency division 3.5% to 449 from 466 compared to the start of the last financial year.