The recruitment of growing numbers of foster carers helped boost pre-tax profit at Swiis Foster Care Ltd, despite a dip in turnover.
Revenue at the foster care specialist fell to £17.8m in the year ended 30 September 2017, from £19.4m in 2016.
Costs of sales also fell to £11.2m, from £12.4m, while administrative expenses dropped to £6.5m last year, from £7m in 2016.
The company was left with a pre-tax profit of £121,291, up from £89,188 in 2016, representing a rise of 36% rise.
During the reporting period, the company invested in staffing, infrastructure and technology, which helped deliver ‘improved outcomes’ for children and young people, while making more placements and recruiting more fosters carers than any other time in an annual period in its 18-year history.
Swiis had unprecedented levels of market activity in terms of competitive tendering. Its financial report said: ‘The directors can report significant successes within this arena over the said year term with Swiis securing more contracts to deliver foster care services across England than during any previous sing annual term in our history.’
North of the border, Swiis Foster Care Scotland reported growing turnover in the year ended 30 September of £13.4m (2016: £12.6m), while cost of sales also grew last year to £7m, from £6.6m in 2016.
Administrative expenses rose 3.5% to £5.9m, from £5.7m last year. The business in Scotland was left with a pre-tax profit of £429,475, up from £314,646.
Its financial report said that the service in Scotland closed the year ‘with a record number of placements and a 5-6 rating from the Care Inspectorate’.
Swiis is one of the largest foster care specialists in the UK with 13 facilities providing fostering services across every region.
Turnover at Swiis International, which is the is the parent company of Swiis Foster Care England, Swiis Foster Care Scotland and Swiis Health and Social Care, remained in a similar position in the year ended 30 September at £43.2m (2016: £43.2m).
Cost of sales were slightly down to £28.9m during the period, from £29.4m last year, while administrative expenses were down to £12.2m, from £13.2m in 2016. As a result, the business was left with a pre-tax profit of £2.4m, up from £761,645 last year.