Gateley Holdings PLC on Wednesday said interim profit declined as a result of higher exceptional costs.

The Birmingham, England-based legal and consultancy firm said pretax profit was £3.3 million in the six months that ended October 31, down 55% from £7.4 million a year before.

Revenue rose 5.3% to £86.3 million from £82.0 million. Consultancy services contributed £25.7 million in revenue, up by about 14% from £22.6 million in 2024, with consultancy bringing about 30% of group revenue during the half-year.

However, Gateley took £7.3 million in exceptional costs, compared to just £2.6 million a year before. Additionally, personnel costs rose to £54.7 million from £52.0 million. Other operating expenses increased to £19.1 million from £18.2 million.

Gateley proposed an interim dividend of 3.30 pence per share, unchanged from the year prior.

Despite the significant decline in profit, the firm reported a ‘strong’ net cash position of £1.2 million at the period end, compared to net debt of £2.2 million the year prior.

Gateley expects annual results to be in line with market consensus and noted a ‘promising mergers and acquisitions pipeline’ as it entered the second half of the year.

‘We are pleased that our more recent organic investments are beginning to generate positive returns alongside the strong performance from our recently acquired businesses,’ Chief Executive Rob Waldie commented.

Gateley shares were down 1.9% at 128.00 pence each on Wednesday afternoon in London.

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