Adviser-focused investment platform Nucleus has reported a £25.4m profit before tax for 2022 following its £24m loss in 2021.

Revenues rose 80% to £114.5m (2021: £63.6m).

Adjusted profit, which excuses exceptional and one-off costs, rose to £47.7m (2021: £7.9m).

Administrative expenses increased to £81m (2021: £66.7m) due to James Hay’s acquisition of Nucleus Financial.

However, the platform said cost savings achieved through the outsourcing of IT and operations to FNZ helped to offset the cost increases.

It was the first full year of contributions from the Nucleus Wrap and James Hay platforms, since James Hay completed its acquisition of Nucleus in 2021.

Since the completion of the acquisition the platform has invested £4.5m in improving service and £12.6m in technology and transformation.

The adviser platforms together administer approximately £43bn of assets, with active relationships with more than 4,000 financial advisers who look after 160,000 UK clients.

Richard Rowney, CEO of Nucleus, said: “This has been a year of significant progress for the group. In the first full year of trading since we joined together Nucleus Financial plc and James Hay Partnership, the numbers we’re reporting today show the benefits of our combined scale are starting to deliver.

“Looking ahead, we’re excited about the prospect of continuing to invest in our products, service and price, enabling us to deliver great financial outcomes for our customers and ultimately helping make their retirement more rewarding.”

Major shareholders in the Nucleus Group are private equity firms HPS and Epiris. Epiris sold a majority stake in the Nucleus Group to private equity firm HPS.

In January Nucleus agreed the purchase of SIPP and SSAS provider Curtis Banks for £242m in an agreed cash offer.

Nucleus will pay 350 pence for each Curtis Banks share, a 32% premium to the Curtis Banks share price on 24 November.