HFA Holdings Limited has downgraded its earnings guidance for the current half year.
In an announcement released on the Australian Securities Exchange this week, HFA said it expected to report earnings before interest, tax, depreciation and amortisation of between US$3 million and US$4 million, compared to US$10 million for the corresponding period last year.
It said the expected decease was a result of a significant drop in product investment performance fee revenue due to volatility in global markets; an increase in non-cash equity settled transaction expense; a one-off expense relating to a reduction in staff following a restructure of the Australian Certitude business; and a review of the compensation structure to ensure staff were remunerated in line with industry standards.
It said group assets under management or advice stood at US$6.03 billion as at October, 2011, compared to US$5.13 billion for the half year ending 31 December, last year.
