Interpath Advisory, the restructuring business sold by KPMG in 2021, has reported its third pre-tax loss in four years of independence, newly filed accounts reveal.
Financial Performance: Losses Amid Growth
The company, now owned by private equity group HIG Capital, posted a pre-tax loss of £11m for the year to 28 March 2025. This marks a stark reversal from the £3.1m profit recorded the previous year and follows losses of £10.6m and £10.2m in its first two years after the buyout.
Despite the loss, the firm's revenue showed strong growth, climbing from £163.6m to £198.9m. Its adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) also rose by 36 per cent to £58.6m, with an operating profit of £17.4m. Headcount increased significantly from 703 to 1,012 employees.
Expansion Costs and CEO Confidence
The accounts highlight the cost of ambitious global expansion. The company's new French division contributed an operating loss of £18.4m, which included substantial set-up costs of £17.9m.
Interpath's chief executive, Mark Raddan, struck a defiantly optimistic tone. "We're unapologetic and uncompromising in our growth ambitions," he stated. "Although we're only four years old, we have a clear vision to become one of the world's leading advisory firms."
He pointed to the firm's strategy of planting "the Interpath flag in major financial centres across the globe," making acquisitions, and hiring top professionals as the driver behind the accelerating revenues.
Future Outlook in a Volatile Market
Raddan argued that the current economic climate plays to the firm's strengths. "We have seen much higher levels of economic volatility and less predictable cycles," he said, adding that this suits Interpath's model of building a "balanced business" to help clients "succeed in increasingly uncertain markets."
The latest results come amid a backdrop of potential ownership change. Last year, it was reported that HIG Capital was preparing a formal sale process for Interpath, targeting a valuation of approximately £800m—double the £400m it paid KPMG in 2021.
