Brooks Macdonald Group (BRK) H1 2026 earnings summary

Executive summary

• FUMA reached £20.1bn, up 5–16% year-over-year, with positive net inflows of £2m, reversing prior outflows and signaling renewed growth momentum.

• Revenue increased 12% year-over-year to £58.2m, driven by higher financial planning and fee income, strong investment performance, and successful integration of Brooks Financial.

• Underlying profit before tax was £13.6m, with a margin of 23.4%, but statutory PBT fell 51% to £6.2m due to higher non-recurring costs.

• Strategic investments in technology, digital, AI, marketing, and leadership enhanced client engagement, operational efficiency, and product innovation.

• Integration of Brooks Financial and other acquisitions completed, achieving over £1m in annualised cost synergies and 98% client retention.

Financial highlights

• Revenue up 12% to £58.2m, with financial planning income at £13.6m and fee income at £37.8m.

• Underlying profit before tax was £13.6m, margin at 23.4% (down from 29.9%); statutory profit before tax was £6.2m.

• Interim dividend increased by 3% to 31.0p per share.

• Cash and liquid assets at period end were £27m, reflecting dividend payments, share buybacks, and investments.

• Over £10m returned to shareholders via dividends and buybacks.

Outlook and guidance

• H2 underlying costs before FSCS levy expected to be broadly in line with H1; H1 revenue trends expected to continue.

• Full year 2026 financial performance anticipated to be in line with market expectations; confident in delivering medium-term targets.

• Continued investment in strategic and digital initiatives, though at a lower level in H2 as major projects complete.

• Management targets annualised net inflows of +5% and BAU cost growth below 5%.