Tilney Smith & Williamson is pleased to announce its financial results for the year ended 31 December 2021, achieving strong momentum in new business and both record assets under management (AUM) and Adjusted EBITDA.
2021 Key Financial Measures
| 12 months to 31 December | 12-months to 31 December 2020 | ||||
| 2021 | Actual | % Change | Pro Forma | % Change | |
| Closing AUM (£ billions) | 57.7 | 51.2 | 12.7% | 51.2 | 12.7% |
| Gross New Money (£ billions) | 6.0 | 3.3 | 81.8% | 5.2 | 15.4% |
| Operating Income (£ millions) | 560.8 | 305.8 | 83.4% | 505.6 | 10.9% |
| Adjusted EBITDA (£ millions) | 188.4 | 115.4 | 63.3% | 165.2 | 14.0% |
| Adjusted EBITDA margin (%) | 33.6 | 37.7 | 32.7 | ||
Financial Highlights
- Assets under Management (AUM) increased 12.7% to an all-time high of £57.7 billion.
- Record gross new business inflows of £6.0 billion, representing 11.7% of opening assets, with net new business inflows increasing to £2.5 billion (2020: £0.7 billion), representing 4.9% of opening assets.
- Group operating income increased 83.4% to £560.8 million.
- Adjusted EBITDA increased 63.3% to £188.4 million.
- Adjusted EBITDA as a percentage of operating income was a sector leading 33.6%.
- The Group further strengthened its robust balance sheet with total equity increasing to £1,391.3 million as at 31 December 2021 (2020: £1,339.3 million).
Strategic Highlights
- Integration of Tilney and Smith & Williamson substantially completed, with new operating models largely implemented, teams and investment process combined, good progress made in consolidating office locations and run rate cost synergies achieved ahead of target.
- On the back of the integration, and having undertaken detailed research among clients and staff, the Tilney and Smith & Williamson brands will be consolidated under a new name in the summer: Evelyn Partners. The choice of a new name reflects the fact that the business is now one firm with a single purpose enabling it to offer a broader, integrated offering to all clients. The new name is rooted in the company’s heritage but is also both timeless and contemporary. More information on the rebrand can be found here: www.evelyn.com
- Strong progress with our digital transformation agenda. We have created a new integrated Financial Services platform, tailored to our needs which combines state-of-the-art reporting, execution and settlement solutions with in-house custody. The business successfully migrated the first tranche of clients to the new platform during the course of the year. The Group has also started to implement a new platform for the Professional Services business which will similarly further enhance client experience and improve operational efficiency.
- Post period end the business announced plans for the relaunch of Bestinvest as a hybrid digital service combining best-in-class goal planning and analytical tools with free access to investment coaching from qualified professionals, alongside its execution-only offering. A new suite of highly competitive low-cost ready-made portfolios have also been launched, together with a simplified pricing structure.
- The business continues to explore opportunities to enhance growth through acquisitions and in March 2021 completed the acquisition of wealth management business HFS Milbourne, which added £376 million of assets to the Group in the second quarter of 2021.
- In September 2021 the business launched a succession programme to give financial advisers approaching retirement an opportunity to find a new home for their clients. Two high quality businesses have already joined under the scheme and there is a strong pipeline for 2022.
- Launched our new bold statement of purpose in September: to place the power of good advice into more hands, alongside setting out the core values for the combined Group.
