AET acquisition helps Equity Trustees profit in 1H23
Underlying net profit after tax (NPAT) at Equity Trustees was $13 million for the first half of the financial year.
Announcing its results for the six months to 31 December, 2022, the firm said underlying NPAT was up 2.5% compared to the prior corresponding period.
Revenue was up 12% over the same period to $62.8 million.
Funds under management, administration and supervision (FUMAS) was $155.5 billion, up 4.4% on the prior corresponding period, where significant new business had offset client mandate losses in the core trustee service.
The acquisition of Australian Executor Trustees had contributed $6.8 billion.
In the trustee & wealth services division, the firm said it had seen a significant uplift in revenue driven by organic growth in most areas and the acquisition of AET which the firm described as having been “high complementary and strengthens our private client capability in key growth segments”.
The company said it would pay a fully franked interim dividend of 49 cents per share.
Managing director, Mick O’Brien, said: “FUMAS and revenue remain on a steady upward trend, demonstrating the strength of our core business and leadership in our trustee services across Australia.
“Our underlying profit has also risen despite adverse investment markets.
“Our balance sheet remains strong, with low gearing and a strong regulatory capital position. This provides stability in volatile times and the flexibility to fund growth as required.”
AUTHOR
Laura Dew
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