Our ability to support our customers remotely, combined with our efficient business and financial strength, mean we are a safe harbour for investors in these uncertain times.
Richard Wilson, ii Chief Executive, says:
I'm pleased to report a strong start to our financial year for revenue, client, and net new business growth. During these uncertain times, the Group will continue to prioritise the welfare of its employees, while maintaining high levels of customer service. Currently, over 95% of our employees work from home, and thanks to their efforts, our customers continue to have access to all the services the Group normally provides.
The Group has a robust operating model with diverse revenue streams and derives around 30% of its revenue from monthly fee income, which is not dependent on trading volumes, stock market movements or interest rates. Fee revenue covers around 54% of our expense base, meaning the company will remain profitable even in a low interest rate or reduced trading volume environment. The company has net assets of £136 million and no external debt.
We believe the Group’s ability to support our customers remotely combined with our resilient operating model and balance sheet strength mean we are well placed as a safe harbour for customers and shareholders in these uncertain times.
During the period we also reached agreement to acquire Share plc. The transaction received shareholder approval on 8 April and is subject to regulatory approval. The firms’ shared values and combined strengths reinforce ii’s position as a leader in the retail investment services marketplace.
To find out more about ii’s strong business model and how we have evolved as a business you can view our Q1 2020 trading update and results from the last three financial years below.