Australia-listed legal pioneer Slater & Gordon has posted bullish full-year results in the wake of an aggressive expansion strategy that saw the firm seal five UK acquisitions during the period.
In the 12 months ended 30 June, net profit after tax rose 47.2% on 2013 to $A61.1m (£33.7m). Revenue surged 40.4% to A$418.5m (£231m). The firm declared a final dividend of five cents a share.
Slater has grown rapidly in the UK since it arrived in the UK with the acquisition of Russell Jones & Walker in 2012. In June it announced plans for its biggest office anywhere in the world to be situated in Manchester, taking in staff at acquired firms Pannone and Fentons.
Slater & Gordon has offices in 17 locations across the UK and 70 in Australia.
Group managing director Andrew Grech (pictured) said the results were emblematic of a successful growth strategy stretching Australia and the UK. ‘The (five) businesses acquired in the UK are running smoothly and the integration of all acquired firms is well progressed,’ said Grech.
‘We have been delighted by the response to the launch of the Slater & Gordon brand which along with Claims Direct is delivering underlying revenue growth of 8% year on year.’
Slater forecasts expects total UK revenue of A$230m (£127m) in 2015, comprising the expected full-year contribution of acquisitions completed in 2013/14 and 8% income growth from the underlying practices.
The Australian business is expected to deliver total revenue of A$270m, comprising 5% revenue growth from the personal injury practice, 10% growth in general law and a A$25.6m contribution from two further proposed acquisitions announced yesterday.
These are the Victoria personal injury law firm Nowicki Carbone and Queensland consumer law firm Schultz Toomey O’Brien.
Shares in the firm were up 6% by the close.