10th Aug 2021 10:06
(Alliance News) - abrdn PLC on Tuesday reaffirmed its full-year outlook following a steady first-half performance that saw it swing to a pretax profit.
Formerly known as Standard Life Aberdeen before its recent rebrand, abrdn reported a swing to pretax profit of GBP113 million in the first half of 2021 from a GBP498 million loss a year ago, amid higher adjusted operating profit and lower impairments.
Assets under management and administration was mostly unchanged at GBP532 billion, compared to GBP535 billion a year prior, as net outflows were staunched, reduced to GBP5.6 billion from GBP24.8 billion.
Revenue for the period fell 21% to GBP1.08 billion from GBP1.36 billion a year before.
The Edinburgh-based investment and asset manager reasserted the guidance it set out in March, expecting a high single-digit three-year revenue compound annual growth rate up to 2023. It is also targetting to exit 2023 at a cost-to-income ratio of around 70%.
"We have made a strong start to the year and our three-year growth plan," said Chief Executive Stephen Bird.
"These results, the first as abrdn PLC, show a 52% increase in adjusted operating profit. Each of our three growth vectors have delivered higher revenue and profits, contributing to the highest overall rates of growth since the merger."
abrdn kept its interim dividend unchanged at 7.3 pence per share.
Shares were down 1.8% at 292.40 pence on Tuesday morning in London.
In separate news, abrdn announced it had purchased EXO Investing Ltd for an undisclosed sum. EXO is a specialist in artificial intelligence-driven decisions about wealth and will "help abrdn develop an industry-leading technology solution for investors", the company explained.
abrdn first announced in February that it would sell its nearly 200-year-old "Standard Life' brand to Phoenix Group Holdings PLC and change its name to abrdn.
By Will Paige; [email protected]
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