1st Feb 2021 08:27
(Alliance News) -Â Hargreaves Lansdown PLC on Monday reported a rise in interim earnings and lifted its payout, adding that its second half has started strongly.
For the half year ended December 31, net new business rose 40% to GBP3.24 billion from GBP2.31 billion a year ago. Pretax profit was up 10% to GBP188.4 million from GBP171.1 million.
Total assets under administration as at December 31 was GBP120.6 million, up 15% from GBP105.2 billion at the same time in 2019. The fund supermarket said it added 1.5 million active clients, which was an increase of 84,000 since June 30.
"As our client numbers continue to grow, we are finding that younger people are taking a greater interest in investing for the future, with the average age of our clients continuing to fall. Covid-19 has underpinned the importance of financial resilience and Hargreaves Lansdown is well placed to support clients with their saving and investment needs across their lifetimes," said Chief Executive Officer Chris Hill.
Hargreaves raised its interim dividend by 6% to 11.9 pence per share.
The FTSE 100 constituent said trading in January has been similar to other lockdown periods with "strong dealing volumes, significant client engagement and robust net new business and net new client numbers."
"The UK's tax year-end should as ever provide us with a great opportunity to engage with existing and new clients, helping them to make the most of their tax allowances and build up their wealth. Beyond this, things become less certain but we remain committed to our client led strategy and will continue to invest to improve and increasingly personalise the client experience and our proposition," the company said.
Shares in Hargreaves were up 0.9% at 1,724.00p in London on Monday.
By Lucy Heming;Â [email protected]
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