Baker Tilly hails 47% growth in turnover
Group figures take in six months post-Tenon merger
BAKER TILLY’S LATEST NUMBERS show its revenues rose 47% to £245m for the financial year ending 31 March 2014.
The figures include the six months following the firm’s acquisition of RSM Tenon in September 2013.
Post-acquisition annualised figures would put the revenues at around £300m, the firm said, as it announced double-digit growth across “all service lines” and that its £32m bank loan drawn to finance its Tenon deal has been repaid within 15 months.
In the Top 50+50 2013 – the last year for which separate figures are available – Baker Tilly had a fee income of £171m, while RSM Tenon boasted £207m.
This year, tax and advisory grew up 41% to £107m; audit and assurance rose 23% to £66m; restructuring and recovery up 14% to £27m; corporate finance up 35% to £16m; while the new risk advisory service added £15m.
The company’s consolidated profit before tax up 112% to £11.9m, while Baker Tilly UK Group partner profit was up 28% to £32.5m – partly thanks to the sale of the firm’s financial services business for £25m.
Managing partner Laurence Longe (pictured) said it had been a “transformational year for the group” which has seen “a full integration take place within a year of our acquisition of Tenon in September 2013”.
He added: “Although the financial performance of a professional services firm in the year following any major merger or acquisition can often be a challenge, it is certainly pleasing to note that both consolidated profits and partner profits rose by significant amounts. Also pleasing is the fact that since the year-end, we have fully repaid the long term loan of £32m taken on to finance the Tenon acquisition. This was largely made possible by the sale of the financial management businesses acquired in the Tenon transaction which were not considered to be core to our long-term strategy and we have now returned to a net cash position.”