Tatton Asset Management plc (AIM: TAM), the investment management and IFA support services group, has reported strong unaudited interim results for the six months ended 30 September 2026, with adjusted operating profit rising 33.3% to £17.482m. Group revenue climbed 24.8% to £32.071m, while assets under management and influence reached £27.968bn, a 15.5% increase over the period. The results underline the company's scalable model and growing adviser network as it pursues its £30bn AUM/I target by financial year 2029.

Key Points

  • Tatton Asset Management plc (AIM: TAM) — investment management and IFA support services group
  • Adjusted operating profit rose 33.3% to £17.482m; Group revenue up 24.8% to £32.071m for the six months to 30 September 2026
  • AUM/I reached £27.968bn; adjusted fully diluted EPS increased 35.0% to 21.62p; interim dividend set at 11.0p per share
  • Investors may be watching progress towards the £30bn AUM/I "Roadmap for Growth" target and the FCA's ongoing MPS market review

Revenue, Profit Margin and EPS All Advance Strongly in Six Months to September 2026

The Group's adjusted operating profit margin widened to 54.5% from 51.0% in the prior comparable period, demonstrating the operational leverage within the business model. Statutory profit before tax increased 37.3% to £16.027m, while adjusted fully diluted earnings per share rose 35.0% to 21.62p. The board declared an interim dividend of 11.0p per share, reflecting a return to a 33:67 first-half to second-half payout ratio. Cash on the balance sheet stood at £35.084m at period end, with net assets increasing to £59.631m.

Tatton's IFA Firm Count Hits 1,295 and AUM/I Reaches £27.97bn Ahead of £30bn Goal

Organic net inflows for the period totalled £1.004bn, equivalent to 8.8% of opening AUM on an annualised basis, though the announcement notes this was below the company's own guidance of £200m to £250m per month, partly reflecting IFA consolidator activity in the second quarter. Market and investment performance contributed a further £2.415bn to AUM growth. The number of IFA firms partnering with Tatton grew by 77 to 1,295, the largest six-month firm increase on record, with client accounts rising 13.7% to 164,350. As of 6 November 2026, AUM/I stood at £28.411bn.

Paradigm Mortgages Posts 17.4% Rise in Completions Despite Challenging Lending Conditions

Tatton's Paradigm division, which provides IFA support services, reported revenue growth of 8.1% to £3.613m for the period, while Paradigm Mortgages participated in mortgage completions totalling £10.1bn, a 17.4% increase year on year. The announcement notes this was achieved despite difficult market conditions, with lenders frequently withdrawing and repricing products. Paradigm Mortgage member firms ended the period at 1,996, while Consulting member firms stood at 426. The division also continued investment in Fintegrate Financial Solutions to support future revenue development.

IFA Consolidation and FCA MPS Review Identified as Key Near-Term Factors for Tatton

The announcement identifies IFA consolidation as a short-term headwind, with a small number of consolidators moving assets into in-house propositions during the period. However, the company states it views consolidation as a long-term opportunity. Additionally, Tatton welcomes the FCA's ongoing review of the MPS market, noting that clear governance and transparency expectations could favour well-run, scalable propositions such as its own. With the UK MPS market valued at £241bn as of June 2026 according to Platforum Research, and Tatton maintaining a 12% market share, investors may be watching how both regulatory developments and consolidation trends evolve across the second half.