HUB24 Limited (ASX:HUB) Reports Record Quarterly Net Inflows
Strong Financial Performance
HUB24 Limited (ASX:HUB) has announced record quarterly platform net inflows of $5.5 billion for Q2 FY25, an increase of 23% compared to the previous corresponding period. This brings total net inflows to $9.5 billion for the half year, marking a 31% increase year-on-year. Funds Under Administration (FUA) has reached $120.9 billion as of 31 December 2024, up 33% from the previous year, driven by positive market movements and large migrations.
Record Platform Growth
The impressive inflows included $1.5 billion resulting from migrations from Equity Trustees (EQT). Excluding these migrations, net inflows stood at $4.0 billion for the quarter, representing a 47% increase from the previous year. The HUB24 Platform has been ranked first in both quarterly and annual net inflows, and its market share has increased to 7.9%. New distribution agreements have brought the total number of advisers using the platform to 4,886, up 14% year-on-year.
Future Outlook
HUB24 has outlined a strong outlook driven by innovative solutions and a robust pipeline. The company expects to meet its FY26 FUA target of $115 to $123 billion. Managing Director, Andrew Alcock, stated, “Our focus on delivering customer service excellence continues to resonate with licensees and advisers. We remain confident in capturing opportunities in the market.” The upcoming migration of up to $1.3 billion from ClearView WealthFoundations to HUB24 Super is also anticipated for the second half of FY25.
Product Enhancements
The company has launched a pilot for Engage, an enhanced reporting capability designed to improve customer experience. Additionally, HUB24 plans to close Xplore Wealth Managed Discretionary Account services by March 2026, anticipating outflows but noting that the financial impact will be minimal.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Hub24. The Motley Fool Australia has recommended Hub24. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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