Rathbones profits fall 28% in H1 as M&A and relocation costs weigh

Impacted by costs of Vision acquisition

Rathbone Brothers saw pre-tax profits for H1 2016 fall by 28.3% to £22.8m, impacted by costs from its acquisition of financial advice network Vision Group and London office relocation.

Profits before tax were down from £31.8m in 2015, although underlying profit before tax (excluding charges in relation to client relationships and goodwill, acquisition-related costs and London head office relocation costs) only decreased 5.1% from £37.2m to £35.3m over the period. Underlying operating expenses of £84.9m for H1 2016 were up 6.7% from £79.6m in the first half of 2015, which Rathbones attributed to higher fixed staff costs and higher direct costs. However, as of 30 June, total funds under management for Rathbones stood at £30.6bn, up 4.8% from £29.2bn as at 31 December ...