Panmure Gordon & Co starts 2017 positively after return to profit in 2016

Insitutional stockbroker and investment bank Panmure Gordon & Co said 2017 has started positively after making a return to profit last year.

"The 2017 macro landscape continues to be challenging," said chief executive Patric Johnson, noting the first quarter had seen Panmure execute nine transactions including advising on two M&A mandates.

"Commission and trading income continues to perform in line with our expectations and the pipeline ... is progressing well. As such we remain confident for the year ahead," he said. "The year has started positively for the firm."

Johnson said Panmure was excited about the recent offer for the issued share capital of the firm announced in mid March, and the prospect of Atlas Merchant Capital joining its existing long-term supportive shareholder QInvest as part of Ellsworthy Ltd.

For the full-year just ended, Panmure made a consolidated profit after tax of £1.1m, which was a reversal of the prior year's £16.7m loss.

There was an increase of 41% in corporate finance and other fee income to £18.0m, from £12.8m, and a rise of 22% in net commission and fee income to £28m, from £23m. It assisted clients in raising over £0.7bn in the year.

Johnson said 2016 was a year of consolidation and focus for the core business as it continued implementing its sector-based corporate driven model.

"We have returned four successive quarters of profitability, made a significant strategic investment, re-established our US broker dealer and concentrated on ensuring we match our service expectations with our clients' requirements."

At 14:49 GMT, shares in AIM-listed Panmure Gordon & Co were flat at 98p each.