Charles Stanley's financial planning arm grew its revenues on the back of a new pricing model.
The division saw its revenues increase from £5m to £6.3m, which the company said was a direct result of its roll-out of a new value proposition and pricing model.
In its results for the year to the end of March 2018, Charles Stanley said these figures give it confidence in the validity of the model which it will continue to scale up by recruiting more financial planners.
Over the year Charles Stanley grew its number of financial planners from 18 to 21.
The company's ambition for the division to represent at least 10 per cent of Charles Stanley's revenues.
As a whole, Charles Stanley grew both its revenue and profits.
Chief executive Paul Abberley said the focus will be on improving margins in the coming year.
Charles Stanley reported a profit of £11.4m, compared with £8.8m for the previous year, with revenue at £150.9m, an improvement on the previous year's £141m.
The company said growth came across all of its divisions, with discretionary funds under management rising by 8 per cent to £12.3bn.
Total funds under management and administration were down slightly from £24bn to £23.8bn, which the company attributed to a deteriorating market.
Its core operating margin was 8.8 per cent, an increase on the 7.1 per cent achieved the previous year, but Mr Abberley said the target was to achieve an operating margin of 15 per cent.
He said: "I am confident that we will continue to make meaningful progress toward attaining our target 15 per cent operating margin.
"The speed with which we attain it will in part be dependent upon the pace of investment to develop sales channels and standardise processes, and in part on how quickly the group assimilates change."
The company confirmed a dividend increase of 33 per cent, to 8p, for the year.
david.thorpe@ft.com
