Finance, investment and broking group WH Ireland says conditions remain ‘difficult’ after a £685,000 interim loss.

The Manchester-based company, which has focused on smaller, ‘growth’ companies and resource concerns from around the world, saw turnover decline 25 per cent to £16.1 million in the six months to May and a £3.8 million pre-tax profit crumble into deficit.

Despite the dire conditions of the credit crunch and a bearish stock market, Ireland managed to chalk up an operating profit, cut from £1.1 million to £575,000, but impairment losses on goodwill, its share of associate companies’ losses and other costs produced an overall pre-tax loss for the half year.

Chairman Rupert Lowe points out that the AIM-quoted company increased funds under management nine per cent to £2 billion since its November financial year-end, while cash rose by £4.2million to £11.3million at the end of May and the WH Ireland UK Growth Trust grew 7.65 per cent to £95 million since November.

He says Ireland, which proposes to halve its interim dividend to 1p a share, has ‘adapted’ its costs case as turnover has declined and can more than cover the employment costs of its securities business from annual retainers.

Lowe warns that the slowdown in stock market activity has become ‘more pronounced’ as 2008 has progressed. However, Ireland did manage to raise more than £40 million through seven AIM floats and eight secondary fund raisings.

A takeover approach in 2007 proved abortive, but earlier this year a consortium, including ex-Southampton Leisure chairman Lowe himself, insurance broker and former Tory Party Treasurer Lord Marland and Carphone Warehouse co-founder David Ross, bought 27 per cent of Ireland for £2.9 million.

Meanwhile, Ireland’s broking chief Laurie Beevers has moved from chief executive to executive deputy chairman. Ireland shares, which hit 194p in October last year, now trade at 99p, valuing the company at £20.6 million. When a true market upturn does eventually materialise, they could fare better than some others in the sector.

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W H Ireland	AIM	£13.88m	66.50p	0.00p
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Other company articles:
First-half loss at WH Ireland			18/08/2008
Marland group moves into broker			01/04/2008
WH Ireland on the prowl			30/07/2007
Ireland’s array of growth prospects			08/08/2006
Expansion continues at WH Ireland			01/08/2006