The Macquarie Group has announced a 58 per cent jump in its profits, posting a $1,070 million net profit after tax for the half-year ended 30 September 2015 (1H16).
The Group received a significant boost from its annuity-style businesses, which includes Macquarie Asset Management (MAM), Corporate and Asset Financial (CAF), and Banking and Financial Services (BFS), with its combined net profit contribution up 38 per cent.
BFS’ net profit contribution jumped to $170 million for the reporting period, up from $141 million for the half-year ending 30 September 2014 (1H15), which was a 21 per cent increase.
The increase was attributed to strong volume growth in Australian mortgages, which , which jumped from $24.5 billion at 31 March to $27.6 billion at 1H16, up 13 per cent from 31 March 2015.
The Group’s assets under management rose by four per cent from 31 March 2015 to $504 billion at 1H16.
MAM net profit contribution stood at $1,139 million for the reporting period, which was a 45 per cent increase from the previous corresponding period.
Performance fees jumped significantly from $373 million in 1H15, to $609 million in 1H16, including fees from Macquarie Infrastructure Corporation, and Macquarie European Infrastructure Fund 1, and performance fee income from co-investors of a UK asset.
