5th Dec 2019 09:11
(Alliance News) - AJ Bell PLC said Thursday it has reported a strong set of results in its first year after listing on the Main Market of the London Stock Exchange.
For the year ended September 30, the stockbroker reported a 17% increase in revenue to GBP104.9 million from GBP89.7 million in the comparative period a year ago.
The company said it has achieved a 33% "record increase" in pretax profit to GBP37.7 million from GBP28.4 million a year ago.
"This excellent result was primarily due to the continued success of our platform positions," the company said.
AJ Bell said the two key drivers of its performance, customers and assets under management, grew respectively by 17% and 13% due to its platform propositions.
The stockbroker ended September 30 with GBP52.3 billion in assets under administration compared to GBP46.1 billion the year before. AJ Bell's platform AuM ended the period at GBP44.9 billion, up 16% on its opening AuM of GBP38.6 billion.
AJ Bell upped its retail customers to 232,066 from 197,912. Platform clients rose 19% to 218,169.
The company proposed a final dividend of 3.33 pence per share, compared to 2.24 pence a year ago, which takes the total ordinary dividend for the year to 4.83 pence, a 31% increase from 3.70 pence a year ago.
Les Platts, chair of the company, said: "The prospect for the UK Investment platform market remain positive."
"At the time of writing there is ongoing uncertainty surrounding the timing and nature of the UK's anticipated departure from the EU and the outcome of the UK General Election," Platts continued.
He added: "While we expect further market volatility, the board believes that the business is well positioned to manage the challenges and grasp any opportunities presented."
AJ Bell also announced a new share option plan that will see charitable causes receiving around GBP10.0 million if the company increases its earnings per share by at least 100% over three years and by at least 150% over five years.
AJ Bell shares were 2.5% down in London at 397.67 pence each on Thursday. AJ Bell began trading in London at 220.0p in December last year.
By Loreta Juodagalvyte; [email protected]
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