OneVue maintains revenue stability amid pandemic
OneVue has seen revenues decrease by 1% to $49.1 million in its FY20 results as a result of market volatility, lower interest rates and the new Protect Your Super legislation.
In an announcement to the Australian Securities Exchange (ASX), the firm said EBITDA was up 48% to $6.6 million with an EBITDA margin of 13.5%.
Its platform services, which represented 36% of total revenue, saw net inflows of $0.6 billion and average funds under administration rose 21%. Total platform funds under administration were $5.7 billion, a 2% rise.
On super member administration, funds under administration rose 6% to $5.6 billion despite the effects of the regulatory transfer of low balance accounts to the Australian Taxation Office under Protect Your Super legislation, COVID-19 early release payments and downturn in share markets.
Super members totalled 147,889 which was a drop of 6%, largely attributable to PYS measures.
During the period, it was announced the firm would be acquired by IRESS and OneVue said there was a “strong strategic fit” between the two firms.
Managing director, Connie McKeage, said: “Our diversification means over 60% of revenues are unaffected by market movements.
“It is incredibly pleasing that our strategy to deliver more efficient, lower cost and client-centric solutions to existing investors and members as well as new generations of investors has gained such traction with Investment Gateway achieving $1.4 billion in funds under management.
“It is alignment to this strategic industry vision that has led to Iress announcing an acquisition offer to purchase 100% of OneVue shares on issue for 40cps cash, a 66.7% premium to the closing price on 28 May, 2020.”
AUTHOR
Laura Dew
Recommended for you
ASIC has launched court proceedings against the responsible entity of three managed investment schemes with around 600 retail investors.
There is a gap in the market for Australian advisers to help individuals with succession planning as the country has been noted by Capital Group for being overly “hands off” around inheritances.
ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager.
Having peaked at more than 40 per cent growth since the first M&A bid, Insignia Financial shares have returned to earth six months later as the company awaits a final decision from CC Capital.
