Randall & Quilter profit drops 21%; lifts dividend citing underlying performance

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Insurance group Randall & Quilter posted a 21% fall in annual profit, but lifted its dividend citing an improved underlying performance.

Pre-tax profit for the year through December decreased to £30.2 million, down from £38.1 million year-on-year.

Randall & Quilter said the fall included the impact of intangibles created from acquisitions in legacy insurance.

It also included mark-to-market movements in its fixed income investment portfolio and foreign currency translation reserves associated with changes in interest and exchange rates.

Pre-tax operating profit doubled to £16.0 million and the company declared a full-year dividend of 4p per share, up 5% year-on-year.

Randall & Quilter also announced a new progressive dividend policy with a payout ratio of 25%-50% of pre-tax operating profit.

The policy, it said, reflected current growth opportunities and a balance of reinvesting and growing dividends.

At 8:55am: (LON:RQIH) Randall Quilter Investment Holdings LTD share price was 0p at 182.5p