Tenet maintain profitability despite recession

Issued: 09 February 2010

Tenet demonstrate continuing profitability and resilience in its annual report & accounts

Tenet Group Limited, the Leeds based distribution support group, has demonstrated continuing profitability and resilience in its annual report & accounts for the 12 months to 30 September 2009.

In a challenging and recession-hit market, the group delivered encouraging pre-tax profits of just over £1m on revenues of £76.4m. Net assets rose from £33m to £34m, while cash reserves increased from £23.7m to £28.4m.

The results reflect a period of continuing investment by Tenet in its multi-distribution support strategy and the introduction of a major transformation and re-brand programme to positively evolve its support propositions to meet the requirements and opportunities of a pre & post-RDR landscape.

During 2009 Tenet also used its strong financial position to offer credit crunch loans and business development finance to members who were unable to use traditional routes due to the banking crisis.

Tenet Group chief executive, Simon Hudson comments: “2009 was a very challenging year as the group grappled with demanding economic conditions and the debate regarding significant regulatory change.

“The business is well capitalised and carries substantial cash balances to ensure short-term shocks are absorbed, while capital remains available to take advantage of any new opportunities in the future. It is with some confidence that we look forward to the opportunities and challenges of 2010.”

Tenet chairman, Lord Hodgson of Astley Abbotts adds: “Our prudent approach has enabled the group and its financial advisers to avoid some of the pitfalls seen in the industry. The past year has shown our ability to meet adversity and Tenet should now be set to thrive.”