Travel broker's turnover dropped 2% despite policy sale increases
Travel insurance broker Drakefield Insurance Services made a net profit of £597,546 for the year ended 31 January 2010, 6.8% down from the £640,892 it made the previous year.
Turnover at Drakefield, part of the AA/Saga Group, was down 2% to £8.4m from £8.6m despite an increase in policy sales to 456,589 from 427,671.
While operating profit before tax for the year ended 31 January 2010 was 5.5% up on the previous period at £834,868, a sharp drop in bank interest receivable, coupled with higher bank interest payable, contributed to the lower net profit. Bank interest receivable fell 95% to £6,740 from £123,832, while bank interest receivable rose 78% to £9,884 from £5,540.
Drakefield’s shareholders’ funds fell to £875,152 as at 31 January 2010, from £1.03m on the same date of 2009.
Despite the worse results, Drakefield boosted its interim dividend to £750,000 from £500,000.
The company said in its filing with Companies House that the results were in line with its original targets.