Eddie Hobbs firm posts €125k loss after he and wife take 40pc pay rise

EDDIE HOBBS’S financial services company recorded a pre-tax loss of €125,524 last year after the directors granted themselves a 40pc pay increase.

New accounts filed by Hobbs Financial Practice show the company recorded the loss after pay for the directors, financial guru Mr Hobbs and his wife, Mary Fehily Hobbs, increased by 40pc from €313,704 to €438,979 in the 12 months to the end of last October.

The company’s revenues dipped by 7.4pc from €793,318 to €734,975 during the period.

The pre-tax loss of €125,524 last year followed a pre-tax profit of €73,425 in 2018.

According to the directors’ report, administration expenditure increased by 19.6pc compared to the previous year due to one-off items anticipated by the directors which included a one-off increase in directors’ remuneration which accounts for 89pc of the increase.

The directors said they were satisfied with the results for the financial year.

The main activity of the company is as an investment intermediary, an insurance intermediary and providing financial advice.

The directors’ report said the company has no debt so financial risk is minimal.

On the business impact of Covid-19, the directors say they expect the firm to trade its way through the disruptive impact of the global pandemic, adjusting costs to deal with impacts on revenues and to rely, if and when required, on available supports including banking facilities and schemes.

The directors’ report also said Covid-19 has had a negative effect on its trading activities since year end and has resulted in lower than expected level of trading activity.

They said that during the lockdown the company had shut down its offices and continued operations using remote office technology, adding that the firm has retained its staff.

The directors say they are confident the company will be fully operational once the period of restriction is lifted.

At the end of last October, the company’s shareholder funds totalled €143,732.

The company employs eight people, comprising six staff and two directors, and staff costs last year increased from €580,175 to €657,650. The company’s cash reduced from €150,723 to €49,747 during the year.

The staff costs are made up of wages of €627,086, social welfare costs of €19,688 and €10,876 in pension payments.

In the past, Mr Hobbs has presented television shows such as ‘Rip-off Republic’, ‘Show me the Money’ and ‘The Consumer Show’.