OPERATING PROFITS at financial services group IFG fell by more than 90 per cent in the first six months of the year to €300,000, according to figures from the company yesterday.

The group, whose businesses include mortgage broking, pensions and management services, said revenues in the first six months of the year were up 16 per cent at €57.4 million from €49.7 million during the same period in 2009.

Operating profits before exceptional charges, amortisation and benefits paid to staff laid off during the period fell 9 per cent to €11.1 million from €12.2 million in the first half of last year.

Unadjusted operating profits, which included costs associated with its €42 million purchase of British pensions business James Hay in March, were €300,000, some 97 per cent down on the €9.1 million it reported for the first six months of 2009.

Earnings per share were off 88 per cent this year at 0.95 cent a share from 7.89 cent last year.

Adjusted earnings per share were down 20 per cent at 9.62 cent from 12.04 cent over the same period last year.

The directors are proposing to increase the interim dividend paid to shareholders by 6.3 per cent to 1.35 cent from the 1.27 cent paid this time last year.

IFG breaks its business into three divisions: Ireland, Britain and International.

The Irish business, made up of property-related activities and financial services, lost €1.4 million during the six-month period. It made a €1.5 million profit during the equivalent period in 2009.

IFG is looking at the possibility of selling its Irish title insurance operation next year. Its Irish financial services division made a €1.2 million profit, and the group recruited a number of new corporate clients during the first half.

Operating profits in Britain were up more than 150 per cent at €5.3 million from €2 million. IFG said the integration of the James Hay pensions business was going according to schedule.

The international business made a profit of €5.5 million during the first half, down from €7.3 million in 2009.