30th Jul 2015 07:50
LONDON (Alliance News) - Henderson Group PLC Thursday reported higher first-half pretax profit from continuing operations and an increase in assets under management.
Henderson, a fund manager dual-listed in Australia and London, said it made a GBP98.1 million pretax profit in the six months to the end of June, compared with GBP61.5 million in the corresponding half last year. The assets it manages increased to GBP82.10 billion from GBP81.16 billion over the first six months of 2015, a result of GBP5.6 billion in net inflows and GBP1.5 billion from market and foreign exchange movements, more than offsetting a net GBP6.2 billion reduction from acquisitions and disposals.
Chief Executive Andrew Formica said the fund manager's acquisitions of Perennial Fixed Interest, Perennial Growth Management, and 90 West in June will boost growth in its Australian business and help to establish its presence in that market. He said Henderson is in a good position for continued growth, with strong sales momentum.
"We remain relatively positive on the market outlook, but are conscious that lingering investor caution during the northern hemisphere summer could affect flows across the industry in the third quarter. Nevertheless, Henderson remains well positioned," Formica said in a statement.
Henderson increased its interim dividend to 3.10 pence per share from 2.60p, and said it's ready to begin a GBP25.0 million share buyback during the second half, citing an improvement in its capital position.
"We continue to operate a progressive ordinary dividend policy and expect to grow ordinary dividends broadly in line with earnings growth over the medium term," Henderson said.
"Reflecting our strong business performance and improved capital position, we are now in a position to consider enhancing returns to shareholders, in addition to the ordinary dividend policy," the company added.
Henderson shares were up 2.5% at 271.90 pence on Thursday morning in London.
By Samuel Agini; [email protected]; @samuelagini
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