HP JDV continues to run at a loss
Financial services technology group HP JDV Ltd has lost more than $17.182 million for the year ending June 30.
The result is not the first major loss the group has experienced. Earlier this year HP JDV lost more than $13 million in the nine months to March 31, 2001. The group also recorded a loss of $9.2 million for the six months to December 31 on the back of revenue of $36.5 million.
The losses couldn’t have come at a worse time for HP JDV, with the group still in a start-up phase of its latest deal, the proposed outsourcing of Westpac Broking.
In June, Westpac Banking Corp Ltd announced its intent to outsource the technology and transaction processing operations of Westpac Broking to JDV. The deal is expected to be contractually formalised by September. In July the banking group injected $30.9 million into HP JDV in return for a 25.1 per cent stake.
The investment formed part of HP JDV's plan to raise $40 million, with the remaining $9.1 million to be raised through an excluded $1.20 a share offer to eligible institutions, staff and investors.
HP JDV has already signed two major technology deals with St George and Macquarie in the past six months.
HP JDV, formerly known as Hartley Poynton Ltd, operates wealth management, stockbroking and investment banking businesses from 14 offices around Australia.
The group says that while the retail market had been soft, these areas continued to grow with the size of the investment advisory service set to benefit from an upturn in markets and acquisition opportunities through consolidation in the market for independent financial advice.
Recommended for you
In this week’s episode of Relative Return Insider, AMP chief economist Shane Oliver joins the show to discuss Australia’s stagnating productivity ahead of the government’s economic reform roundtable, and how picking all the “low-hanging fruit” for reform in the ’90s helped kick off a surge that has since stalled out.
In this episode of Relative Return Insider, host Keith Ford is joined by Cyber Daily deputy editor David Hollingworth to take you inside the evolving landscape of cyber crime, how even huge companies can be at risk of breaches, and what that means for anyone trying to understand the risks.
The latest episode of Relative Return sees host Laura Dew chat with Richard Ivers and Mike Younger, co-portfolio managers at Prime Value Asset Management, on their newly launched Microcap Fund and opportunities in small and mid-cap shares.
In this week’s episode of Relative Return Insider, hosts Maja Garaca Djurdjevic and Keith Ford dive into the week's top news, from investors remaining blasé about tariff announcements to bitcoin surging and unemployment numbers.
