FRP Advisory Group PLC (AIM:FRP) climbed almost 12% on Friday morning after announcing both full-year revenue and profit would come in ahead of expectations.
Revenue is expected to have grown 23% to £128 million in the year to April, the insolvency practitioner said, while underlying earnings should be up 37% at £37 million.
Sadly, this reflects a 22% increase in business administrations over the year, with FRP highlighting work at high-profile failures the Body Shop and Inland Homes.
“FRP strengthened its market-leading position in the administrations market, remaining the most active [...] in the UK by volume of appointments,” the company noted.
Higher costs for companies, including from borrowing, would likely continue hitting businesses keeping the rate of failures high, it added.
Full-year results are due on July 24.
Shares climbed 11.3% to 142.50p.