Shares of Manchester-based corporate rescue practice Begbies Traynor Group plc rose 3% on Tuesday after it said its revenue increased 17% to £70.5 million in the year to April 30, 2020, and it has started the new financial year “in a strong position.”

Begbies Traynor said adjusted profit before tax rose 31% to £9.2 million but statutory profit before tax was fell to £2.9 million from £3.3 million.

The firm is recommending an 8% increase in its total dividend for the year to 2.8p, the third consecutive year of dividend growth.

In its “current trading and outlook” comment, Begbies Traynor said its business recovery and financial advisory unit started the year in a strong position and that it anticipates an increase in market activity levels as Government support measures are withdrawn.

Begbies Traynor Group executive chairman Ric Traynor said: “I am pleased to report a year of strong financial performance with growth in revenue and earnings delivered by our organic and acquisitive strategy.

“Our recovery and advisory teams start the new financial year in a strong position to deliver results ahead of last year.

“This reflects an increased order book, together with the benefit of our recent acquisitions and organic investment and an expectation of an increase in market insolvency levels once the short-term Government support measures for the economy are removed. 

“In our property and transactional teams, we have seen encouraging improvements in those service lines impacted by the lockdown and we anticipate further recovery in performance over the remainder of the year.

“Activity levels for our other property teams have remained robust.

“With our mix of service lines and activities, combined with our strong financial position, we are well placed to continue delivering medium to long-term growth.

“We continue to progress acquisition and organic investment opportunities given our strong balance sheet, cash generative businesses and counter-cyclical focus.”