Argonaut profit down amid soft ECM activity

Revenue and annual profit at Perth investment house Argonaut have dropped following what it described as a period of substantially reduced activity in equity capital markets and mergers and acquisitions.

Argonaut's operating profit fell from $2.9 million to $1.8 million, while its revenue fell from $18.4 million to $16.4 million.

Argonaut said investors' appetite for risk diminished over the period due to continued uncertainty in global financial markets, political uncertainty in a number of key jurisdictions, and softer commodity prices.

"Argonaut has produced a reasonable result in a difficult market," Argonaut chief executive Charles Fear said.

"Argonaut is looking forward to improved conditions in the coming year after an extended period of subdued activit with attractive valuations of companies in the resources sector, accommodative interest rate settings and an improving global economic outlook."

Argonaut said it intended to continue expanding its team into the future.