Higos heads for profit despite deepening loss during 2009

Broker Higos Holdings’ after-tax loss widened to £207,575 in the year to 31 December 2009, from £145,128 the previous year, but the company is on track to post a profit in 2010.

The 2009 loss came despite an 11% increase in turnover to £8.63m from £7.78m in 2008, a 16% drop in the cost of sales to £1.44m from £1.72m and a rise in other operating income to £5,100 from £1,796.

The 2009 results were hit by a 19% spike in administrative expenses to £7.31m from £6.15m. In addition, interest receivable dropped 87% to £14,929 from £118,434.

The Somerset-based company has been bedding in nine acquisitions made in 2009, bringing the total to 24 in 18 months. “2009 was about consolidating,” Higos chief executive Ian Gosden said.

Despite the 2009 loss, Higos Holdings’ Companies House filing said that, as of the date the accounts were signed, in September 2010, the company was profitable.

Gosden said he was aiming for a profit of £250,000. The firm is also planning to boost the amount of gross written premium it handles to the mid-£40m range.