UK's Quilter beats profit forecasts but outlines nearly $100 million review cost

(Reuters) - British wealth manager Quilter on Wednesday beat estimates with a 17% higher profit for 2024 but said an ongoing review will cost the company 76 million pounds ($97 million).

The company has been reviewing its historical services provided to customers amid heightened regulatory scrutiny of charging by fund managers and quantified the remedial costs related to the review for the first time today.

The fund manager reported adjusted pre-tax profit of 196 million pounds for the year ended December 2024, above previous year's 167 million pounds. Analysts, on average, were expecting 188 million pounds, as per a company-compiled consensus.

Quilter reported its strongest quarter of the year in January, helped by a year of strong cash flows from its high-net-worth clients after worries of potential tax changes ahead of the October budget resulted in clients moving and disposing of their assets under their inheritance tax planning.

($1 = 0.7809 pounds)

(Reporting by Yamini Kalia in Bengaluru; Editing by Mrigank Dhaniwala)