Equiti Capital reports profit growth of 209% in the volatile year of 2020
“The increase in revenues and profitability can be attributed to strong risk management and controls, good governance and systems in place”
Equiti Capital UK Limited has reported an increase of 209% in profitability for the financial year ending December 2020.
The earnings report point to an increase in profit of $1.8 million compared to $569,000 in the previous financial year and an annual revenues growth of 25% to $31 million.
Revenue growth was supported by a strong Equiti UK Balance Sheet, with net assets of $22.4m, as the company remained highly cash generative during the year.
Nigel Holmes, Acting CEO of Equiti UK and Director of the Equiti UK Board, commented: “The increase in revenues and profitability can be attributed to strong risk management and controls, good governance and systems in place, and a motivated and dedicated workforce and new business, supported by volatility in the markets due to the pandemic and the global economic situation.
“The continued growth in headcount is in line with the strategic development plans for the company”, he added. The FCA-regulated subsidiary of Equiti Group has recently received a $10 million cash injection from its parent company to fund strategic initiatives.
Equiti Capital has built an operation that is not reliant on sustained periods of high volatility in markets. The firm has invested in product development, diversified into new contracts, and focused on technical expertise and clients to deliver sustainable results for years to come.
Its strong balance sheet and liquidity position remain in place despite the challenges Covid-19 brought during the reporting period. No support was sought from the government and no staff members were furloughed or received a pay reduction, the company stated.
Equiti Capital was led by CEO Brian Myers and COO Michael Ayres during the reporting period of 2020. Both executives have left the entity during the summer.
Brian Myers increased his focus on the African market and the Seychelles entity as CEO of both operations. Michael Ayres left Equiti Capital earlier in August and was replaced by the new COO, Paul Webb.
Nigel Holmes assumed the role of interim CEO for Equiti Capital (UK) in the face of Brian Myers’ departure. Mr. Holmes has been a director and board member of Equiti Capital (UK) since March 2018.