Norman Broadbent net fee income drops in Q1

Norman Broadbent said net fee income came to £2.15m in the first quarter, down 12% against the group's record-breaking Q123 but 47% higher than Q122.

The AIM-listed group said it has seen a "strong uptick in activity levels" so far in Q2, with "substantial increases" in both the volume and value of proposals.

Chief executive Kevin Davidson said: "We are comfortable with how the year has begun, with variance in quarterly NFI distribution typical over the course of a year and, of course, in the context of a still challenging macroeconomic environment. We have made a strong start to the second quarter and, while the quarterly growth rate may continue to fluctuate, our overall trajectory remains positive. Our stated ambition is to deliver EBITDA in excess of £1.25m in FY25 and we remain confident in our ability to achieve that.

"We have invested further in, and will continue to identify and carefully assess, potential new hires who can deliver NFI rapidly and, crucially, be additive to the high performance and collaborative culture we have created. In addition to adding quality people, we continue to focus on productivity, efficiency improvements and enhanced processes within the company wherever possible."

Norman Broadbent also noted that five additional fee earners were due to start in Q2 and Q3, covering digital and technology, investor practice, life sciences and industrial.

As of 1125 BST, Norman Broadbent shares were down 7.69% at 9.0p.

Reporting by Iain Gilbert at Sharecast.com