FRP Advisory reports robust trading, hikes quarterly dividend

FRP Advisory Group reported robust trading in an update on Thursday, as it remained consistent in its growth trajectory.

The AIM-traded firm, which was holding its annual general meeting, reported an impressive annual growth rate since its 2020 initial public offering, with a revenue compound annual growth rate (CAGR) of 18%.

It also noted adjusted EBITDA growth of 13% and a dividend increase of 5% over the same period.

The company’s start to the 2024 financial year showed promise, as it experienced heightened activity levels, especially within its restructuring team.

In addition, FRP Corporate Finance, which targets the mid-market, successfully finalised numerous transactions.

That particular market segment displayed resilience, especially compared to the broader challenges in the UK merger and acquisition market.

Notably, M&A transactions were experiencing longer completion times, while the group's other service pillars were seeing a surge in demand.

The firm’s commitment to sustainable growth was further emphasised by its recent acquisition of the Wilson Field Group.

That acquisition - the seventh since IPO - was part of the group's strategy of pairing organic growth with acquisitions aligned with its specific criteria.

Additionally, FRP Advisory reaffirmed its robust financial position, as its board declared an interim dividend of 0.9p per share for the first quarter ended 31 July.

That increased from the first quarter dividend of 0.85p per share last year.

The distribution would occur on 22 December to shareholders registered by 24 November, with the ex-dividend date set for 23 November.

“Trading year-to-date has been positive, and if current activity levels continue, the board is confident that the Group will at least deliver the current full-year market expectations,” chairman Nigel Guy said.

“The short and medium-term outlook for the group remains positive, and the board is confident of continued progress.

“The company expects to announce a trading update for the six months to 31 October in mid-November 2023.”

At 1219 BST, shares in FRP Advisory Group were up 2.23% at 117.56p.

Reporting by Josh White for Sharecast.com.