Netwealth posts 34.5% NPAT growth
Netwealth has recorded a 34.5% net profit after tax growth to $27.6 million for 1H21 while funds under administration (FUA) reached $40.7 billion mid-February.
At the end of 2020, Netwealth’s FUA saw a record half year increase of $7.3 billion to $38.8 billion thanks to strong net inflows of $4.5 billion and positive market movement of $2.8 billion for the half year.
At the same time, funds under management (FUM) stood at $9.3 billion, representing an increase of $3.6 billion for 12 months. This included managed account FUM of $7.6 billion.
The board declared a fully franked dividend of 9.06 cents per share totalling $22.1 million for 1H2021.
Commenting on the results, Netwealth’s joint managing director, Matt Heine, said that the new pipeline of business and transitions remained strong and the guidance range provided to the market for FY2021 FUA net inflows was now in the range of $8.5 billion to $9 billion.
“We are happy that current FUA increased to $40.7 billion at 15 February 2021 with growth of $1.9 billion since 31 December, 2020. We are focused on busines profitability, operating leverage and shareholder return,” he said.
“Illustrating this, NPAT increased by 34.5% to $27.6 million for 1H21 and we declared a fully franked dividend of 9.06 cents per share to shareholders.
Recommended for you
Perpetual has seen AUM rise 6 per cent in the last quarter but the departure of a longstanding JOHCM fund manager led to outflows of $2.2 billion from his strategy.
In the latest Meet the Manager profile, Money Management speaks with Michael Skinner, founder and managing director at Blackwattle Investment Partners.
Global fixed income fund Bentham Global Opportunities has been added to several major platforms, enabling it to be accessed more easily by financial advisers.
Following yesterday’s news about First Sentier Investors closing four investment teams, a second global asset manager has announced it is closing its only dedicated Australian fund.
