JTC’s opportunities maximised by ‘strong ties’ between offices
JTC IS building closer links between its Channel Islands, UK and Dutch offices as it eyes further growth.
The provider of fund, corporate and wealth services said in a trading update that ‘strong ties’ between the offices would maximise opportunities for referrals and cross selling.
The firm’s interim results for the first half of 2019 also showed that revenue grew by 32% period-on-period to stand at £46.6m. – reflecting a combination of net organic growth of 8.2% and growth from acquisitions of 23.8%.
JTC reported an increase in earnings (adjusted underlying earnings before interest, tax, depreciation and amortisation) of 35.2% to £14.3m. – up from £10.5m. in the first half of 2018. The company’s underlying profit margin was 30.6%, up from 29.9% compared to the same period in 2018.
Strong performances by both the institutional client services and private client services divisions of the London Stock Exchange listed firm were noted in the figures. ICS reported a 27.6% increase in gross revenue to £25.4m. and PCS a 37.7% jump to £21.2m.
The Jersey-headquartered company said the results also reflected ‘enhancements’ to its senior management team, technology and process developments, and the efficient integration of recently-acquired businesses Minerva, Van Doorn and Exequtive Partners.
In the firm’s interim results, JTC chief executive officer Nigel Le Quesne said: ‘During the period, we acquired Exequtive Partners in Luxembourg and this strengthened our offering, capacity and network in a key ICS jurisdiction and one that we regard as having a higher than average growth potential over the medium to long-term. Integration continues as planned including a move to new premises in H2 [second half of 2019].
‘Alongside core integration tasks in Luxembourg, we have also been working to create strong ties to our Netherlands, UK and Channel Islands offices in particular, to ensure that we maximise referral and cross selling opportunities.’
He also provided an outlook for the rest of the 2019 and beyond, including on merger and acquisition activity and investment in JTC’s workforce.
‘We will maintain our disciplined approach to M&A activity, working to progress a range of opportunities that we believe are in the best long-term interests of the group, with particular focus on opportunities connected to the ICS division and certain geographic markets, including the US and Europe,’ said Mr Le Quesne.
‘Our people and culture remain an important differentiator for JTC and we will continue to make investments in the JTC Academy as part of our talent management and succession planning programmes. We will also remain well invested in technology, processes and premises to ensure that our global platform delivers client service excellence and is configured to capture economies of scale as the group grows.’
He added: ‘We believe the macro environment remains favourable overall for the business, with the company well organised and positioned to take advantage of opportunities that may arise as a result of changes in the geo-political and economic landscape. The group remains confident for the remainder of 2019 and beyond.’
