Woodford IM makes inaugural profit of £11.3m

Woodford IM makes inaugural profit of £11.3m

Woodford Investment Management has reported a profit of £11.3m in its first set of accounts, reaping the rewards of strong asset growth over the final 10 months of the reporting period.

Neil Woodford’s firm reported revenues of £27.5m for the period between January 14, 2014 and March 31 this year, the business proper having launched last May with the rollout of the Woodford Equity Income fund.

The portfolio, now £7bn in size, had £5.5bn in assets at the end of the reporting period. The fund house had also secured a mandate in excess of £3bn from St James’s Place in its opening year - though the £880m Patient Capital trust had yet to launch as of March 31.

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The Companies House filing, released on October 18, showed the company’s wage bill for the period stood at £8.4m, while general and adminstrative expenses totalled £6.3m.

Members of the LLP initially seeded the business with almost £1.3m, the accounts reveal.

The business had just two members as of March 31: Woodford and chief executive Craig Newman. The duo were originally joined as members by former chief operating officer Nick Hamilton and ex-legal and compliance head Gray Smith prior to the latter pair’s departure at the end of 2014.

Commenting on the results, Mr Newman said: “Our aim is to build a fund management company that challenges industry norms and gives investors both value and transparency. Our first year’s results give us a platform to invest in the resources, people and infrastructure needed to drive that ambition forward.”