LONDON (ShareCast) - Results from marketing group Cello Group hit a bum note with investors despite pleasing profits growth, a healthy hike in the dividend and a solid start made to 2015.
Shares in the AIM-listed company fell despite chief executive Mark Scott hailing the improvement in fortunes as Cello became established as a "global player" in the pharmaceutical space, as it was the first full year of trading under the unified Cello Health brand.

Revenue rose 6.4% to £169.9m in 2014, with gross profit up 8.4% to £81m and headline profit before tax up 9.9% to £9.4m.

Headline basic earnings per share climbed 12.3% to 8.14p and despite operating cash flow more than halving to £4.8m - reflecting excessive cash conversion the year before - the dividend was lifted 15.6% to 2.6p.



A sharp increase in lending to customers saw Arbuthnot Banking Group's annual pre-tax profit jump 43% to £22.5m.

The group, which includes private banking business Arbuthnot Latham & Co Limited and retail banking arm Secure Trust Bank, said its lending to customers rose to a record high of £1.1bn, while net interest income rose 34.2% to £98m.

The growth in pre-tax profit was 4% higher than expected by Numis prompting the brokerage to describe the full year results as a "strong" performance sure to warrant an increase in forecast and target price.

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