finnCap Group PLC (LON:FACP) has joined the list of companies resuming dividend payments after buoyant first-half trading for the group.
In an update, the small-cap broker and corporate finance house said the record trading it had seen in the first quarter of its financial year had continued.
As a result, revenue for the six months ending September 30, 2020, will be at least 37% higher at £19.5mln with a ‘significant uplift in profitability on the prior period’, the group added.
Equity capital markets have been especially buoyant, the broker said in the statement issued ahead of its AGM, as corporate fundraising has continued to cope with the coronavirus (COVID-19) disruption.
Costs have remained under control while the group's cash position had improved to £12.4mln near the end of September, which will enable it to pay a dividend with its interim results.
finnCap said it has a good pipeline of prospects and remains confident of a good outcome for the year, though it is mindful of the current uncertain economic backdrop.
In the statement, Sam Smith, finnCap's chief executive said: "Although the external environment has been dominated by COVID-19 and its economic and social impact, our second quarter has been strong, with continued equity issuances by clients to support COVID-19 related activities, to support balance sheets and to raise funds to develop strong business cases including one of the only IPOs to take place during lockdown.
“The M&A market is quiet but the team still closed a number of transactions and continued to win new mandates for H2.”