Financial services group Trust Company has reported a 79 per cent increase in net profit to $19.1 million for the half-year ending August 2008, driven largely by the sale of its BNY Trust joint venture interest.
Trust also posted ongoing operating earnings before interest, taxes, depreciation and amortisation (EBITDA) of $10 million for the half-year, up 2 per cent from the previous corresponding period.
However, outgoing managing director Jonathan Sweeney warned that the company’s EBITDA “could potentially be 5 to 10 per cent lower for the financial year 2009”.
“Our first-half result was pleasing and above expectations, however we continue to experience extreme and unprecedented levels of investment market volatility,” he said.
Fund management revenue “held up well” during the half-year, mainly on the back of Trust’s cash management trust product, according to Sweeney, who announced his departure in July.
He said Trust had also “achieved solid growth” during the half-year in its personal injury business, while its estates and trusts and philanthropy businesses “performed in line with expectations”.
Meanwhile, Trust announced today that Sweeney, who will remain with Trust as managing director until January next year, will be succeeded by John Atkins, formerly of Blake Dawson.
