Deakin flags loss as costs of expansion bite
TheDeakin Financial Servicesgroup has indicated that it will record a loss in the current financial year as it looks to bed down an ambitious growth strategy.
Deakin executive chairman, Rob Hunwick, said at the group’s annual general meeting yesterday that its expansion drive would result in one-off expenses in the order of $1 million, impacting on the company’s profitability in the current financial year.
The expansion strategy includes the launch of Deakin’s new wrap, the Deakin Smartplan, which is scheduled to be released next February.
Deakin has also previously set itself an ambitious target to attract 200 financial planners by the end of the current financial year as part of a program to expand its business across the country.
However Hunwick said the group was unlikely to meet this target.
“It needs to be noted that we are now operating in a fiercely competitive environment for these advisers,” Hunwick says.
Deakin currently has some 110 planners on its books.
Deakin scraped into the red to record a small $31,000 profit for the 2001/2002 financial year.
The result was a dramatic turnaround on the 2000/2001 financial year, when Deakin recorded an $11.6 million loss.
Recommended for you
In this episode of Relative Return Insider, host Keith Ford and AMP deputy chief economist Diana Mousina break down the spike in inflation numbers and what it means for the possibility of a rate cut as we move into the new year.
In this episode of Relative Return Insider, host Keith Ford and AMP economist My Bui explore Prime Minister Anthony Albanese’s trip to the US and the critical minerals deal stemming from his meeting with President Donald Trump.
In this episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver unpack the latest unemployment numbers and what they mean for a rate cut, as well as how the latest flare-up in the ongoing US–China trade dispute has highlighted the remaining disparity between gold and bitcoin.
In this episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver take a look at the unfolding impacts and potential economic ramifications of the US government shutdown and the surge in gold and bitcoin prices.
