Full Year Results

Full Year Results (Highlights) - Year ended 31st March 2011

Charles Stanley Group is pleased to announce that revenue for the year ended 31 March 2011 has risen by 9% to £125.6 million (2010: £115.0 million). Profit before tax has risen by 30% to £13.4 million (2010: £10.3 million). The adjusted profit before tax, which excludes the effect of amortisation and a levy of £2.6 million imposed by the Financial Services Compensation Scheme in respect of unrelated businesses, was 29% higher at £17.7 million (2010: £13.7 million). Despite the continuing unsettled economic background we are pleased to have achieved a new record level of turnover and a significant increase in profits and funds under management.

Client funds managed and administered by Charles Stanley Group have risen to £14.50 billion at 31 March 2011, an increase of 13.3% compared with the total of £12.80 billion at 31 March 2010. Within this figure the funds under discretionary or advisory management have risen from £6.35 billion to £7.20 billion, an increase of 13.4%. This compares with an increase over the same period of 3.5% in the FTSE 100 Share Index and of 4.3% in our principal benchmark, the APCIMS Balanced Portfolio Index. This increase in managed funds derives from market performance across clients' portfolios averaging 3.4% while net incoming funds from new and existing clients added 10.0% to the total.

In line with our emphasis on steadily increasing the level of discretionary fund management, our clients' discretionary funds now represent 64.0% of managed funds compared with 61.2% at 31 March 2010.

Following the year end, on 16 May 2011 we acquired Jobson James Financial Services Limited, a Birmingham-based provider of wealth-management solutions to companies and individuals, for a consideration of up to £2.25 million. Charles Stanley has a growing presence in the Midlands, and Jobson James is an excellent strategic fit both in terms of its business and geographically. During the year we were delighted to welcome a number of additions to our teams of stockbrokers in London and around the country, and we opened a new office in Cirencester, which has made an excellent start.

Year ended 31st March 2011

Sir David Howard