RFIB profits soar but it reviews strategic options
Lloyd’s broker RFIB posted a strong set of results for 2013 following a business restructuring while it also announced it has appointed an adviser to review its future strategic plans.
RFIB profits increased to £4.3 million for 2013, compared with £1.3 million in 2012. However, group revenue remained static at £41.4 million, compared with £41.1 million in 2012.
These 12 month figures are calculated on a pro-forma basis and are extracted from a set of 18-month accounts the company post for the year ending December 31, 2013.
The company also said it was moving to a single floor space in London to improve efficiencies, would dispose of non-core units and seek expansion in the Middle East and Africa.
It has also appointed Fenchurch Advisory Partners to review its future strategic plans.
Jonathan Turnbull, chief executive officer, said: “The last 18 months have been a transformational period for RFIB and I am delighted that in a difficult market we maintained profitability whilst we have completed an extensive programme of investment, divestment and internal restructuring, implementing a range of initiatives that are already beginning to have a positive impact on the business and I believe will facilitate our significant expansion.
“Market conditions remain soft as a result of an oversupply of capital from investors in search of non-correlated returns and higher yields. As a result the external operating and competitive environment continues to be challenging and uncertain. However, with all the work which has been undertaken over the past two years, I feel confident about RFIB’s prospects for future growth based on an increased focus on speciality lines of business, backed by a scalable efficient administrative platform, supported by a strong governance and internal control framework.”
On the appointment of Fenchurch Advisory Partners, Turnbull said: “This process will include an exploration of the full range of options so as to enable the group to take maximum advantage of likely developments in the Lloyd’s and international insurance markets.”