Centrepoint Alliance reports strong adviser growth
Centrepoint has reported strong adviser recruitment in the 2022 financial year, driven by a mix of organically and via acquisition.
In an announcement to the Australian Securities Exchange (ASX), Centrepoint Alliance said it had ended the 2022 financial year with 517 licensed advisers with an additional 175 advisers coming from the acquisition of ClearView in November 2021 and a further 27 from the market.
The firm said extending services to self-licensed firms remained a core part of its strategy, supporting growth in FY22.
“Combining Centrepoint’s self-licensed business with the acquisition of ClearView’s self-licensed La Vista offer, the company now has 192 self-licensed firms, with circa 788 advisers (net growth of nine in FY22),” it said.
In earnings, preliminary unaudited FY22 earnings before interest, tax, depreciation and amortisation (EBITDA) was $7.2 million (before one-off FY22 transaction costs of $1.1 million and performance rights employee expenses of $1.6 million).
This was an increase of more than 100% from $3.4 million in FY21.
Preliminary unaudited FY22 net profit before tax (NPBT) was $2.6 million, a year-on-year (YoY) increase of 66% spurred by growth across the company's business units, successful M&A and expense management.
The growth of Centrepoint’s lending business remained a key strategic focus, it said. The business is a boutique lending aggregator providing broking services to circa 80 mortgage brokers.
Annual settlements grew 36% from the prior year to $900 million taking the total loan book to circa $3.2 billion.
The company also announced the completion of the sale of Ventura Funds investment management rights to Russell Investment Management Ltd. The proceeds of the sale would be recognised in the July 2022 accounts.
Centrepoint Alliance expected to release its audited FY22 financial results on 24 August, 2022.
AUTHOR
Liam Cormican
Recommended for you
The top five licensees are demonstrating a “strong recovery” from losses in the first half of the year, and the gap is narrowing between their respective adviser numbers.
With many advisers preparing to retire or sell up, business advisory firm Business Health believes advisers need to take a proactive approach to informing their clients of succession plans.
Retirement commentators have flagged that almost a third of Australians over 50 are unprepared for the longevity of retirement and are falling behind APAC peers in their preparations and advice engagement.
As private markets continue to garner investor interest, Netwealth’s series of private market reports have revealed how much advisers and wealth managers are allocating, as well as a growing attraction to evergreen funds.
