ClearView’s solid first half
Publicly-listed risk-focused financial services group, ClearView Wealth Limited has reported a strong half-year result which included its acquisition of Matrix Financial Planning.
In doing so, the company pointed to pursuing further growth via its expanded adviser footprint.
The company reported a 9 per cent increase in underlying net profit after tax of $9.9 million for the half-year ended 31 December, with chief executive, Simon Swanson describing the firm as being "a nimble challenger in the markets in which it operates".
Swanson directly referenced the Matrix acquisition together with ClearView's upgrade of its LifeSolutions product range.
"ClearView continues to execute on its strategic plan and remains well positioned for continued growth with a supportive shareholder base," he said.
Discussing the result, Swanson's statement said that after removing the impact of the expenses incurred in implementing the new wealth platform, launching the new WealthFoundations product and the merger with Matrix, ClearView produced an adjusted Underlying NPAT of $11.3 million representing growth of 24 per cent on the prior period.
It said the merger and integration of Matrix in the half year period had contributed $0.2 million to Underlying NPAT including a one-off tax benefit of $0.1 million.
However it noted, "Matrix is not expected to contribute materially to Underlying NPAT in FY15."
The company's announcement to the Australian Securities Exchange (ASX) noted strong growth in life insurance resulting from the emergence of profit off the increased average in-force premiums over the year and the positive impact of a claims experience profit of $0.1 million (after tax) relative to the expected claims cost. This positive claims experience variation follows positive claims experience in 1H FY14 of $0.7 million.
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