HUB24 Limited (ASX:HUB) Reports Strong 1HFY25 Financial Results
Financial Performance
HUB24 Limited reported Group Underlying EBITDA of $77.6 million, a 41% increase on 1HFY24. Group Underlying NPAT rose by 40% to $42.6 million, while statutory NPAT grew by 54% to $33.2 million. Underlying diluted earnings per share increased by 41% to 51.0 cents. Total revenue reached $195.2 million, up 25% from 1HFY24.
Dividend Declaration
The Directors have declared a fully franked interim dividend of 24.0 cents per share, a 30% increase on 1HFY24. The dividend is payable on 15th April 2025.
Platform Growth
Total Funds Under Administration grew to $120.9 billion, with Platform FUA reaching $98.9 billion. The Platform segment achieved record net inflows of $9.5 billion, up 31% on 1HFY24. HUB24 is now the 7th largest platform, with a market share increase to 7.9%.
Awards and Recognition
HUB24 was awarded Best Platform Overall, Best Platform Managed Accounts Functionality, and several other accolades, recognising its investment in innovation and productivity for advisers.
Outlook
The Platform FUA target for FY26 has been upgraded to $123 billion to $135 billion, driven by strong net inflows and market opportunities across customer segments.
Executive Comments
CEO and Managing Director Andrew Alcock stated, “We’ve delivered strong financial results for 1HFY25 with an increase of 25% in Group Revenue to $195.2 million and 40% in Underlying NPAT to $42.6 million over the prior corresponding period. Given this strong performance, we have announced a fully franked interim dividend of 24.0 cents per share (up 30% on pcp). As well as achieving record net inflows, we are delighted to have once again been recognised as Australia’s Best Platform and Best Platform Managed Accounts Functionality. The wealth management landscape is continuing to evolve, and financial professionals are seeking solutions that enable productivity so they can empower better financial futures for their clients. With significant opportunities from existing and new customers across the Group, we expect strong growth and increasing profitability. By leveraging our unique Group capabilities, we will continue to drive industry transformation while enhancing value for our customers and shareholders.”
Motley Fool contributor Matt Burgess 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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