15th Nov 2005 07:02
Schroders PLC15 November 2005 Schroders plc Trading Update 15 November 2005 Schroders plc is today issuing a trading update for the three months to 30September 2005 prepared under International Financial Reporting Standards(IFRS). Results for the comparable period in 2004 are consistent with thesegmental reporting and accounting changes announced in the Interim Report. Profit before tax remained strong in the third quarter at £63.6 million comparedto £86.5 million in the same period of 2004, which included a one-off PrivateEquity gain of £47.8 million. Profit before tax for the nine months to endSeptember 2005 was £187.1 million (2004: £159.1 million). Asset Management Results Asset Management revenues for the quarter were £141.2 million (Q3 2004: £103.9million). Costs were £95.1 million (Q3 2004: £76.4 million) and profit was £46.1million (Q3 2004: £27.5 million). Private Banking Results Private Banking revenues for the quarter totalled £17.0 million (Q3 2004: £16.3million), costs were £15.5 million (Q3 2004: £13.8 million) and profit was £1.5million (Q3 2004: £2.5 million). Private Equity and Group Results Profit from Private Equity was £5.5 million (Q3 2004: £57.8 million including aone-off gain of £47.8 million). Group net income was £10.5 million (Q3 2004: netcost of £1.3 million). Funds under Management From an opening position of £112.1 billion at 30 June 2005, funds undermanagement rose by 5.5 per cent. in the quarter to £118.3 billion. Net businessoutflows during the quarter were £2.1 billion, with net outflows of £1.2 billionin Institutional and £0.9 billion in Retail. Private Banking net flows were flatover the quarter. Outlook Further margin improvements coupled with strong markets had a positive impact onrevenues and profits. We also had gains on Group investments. Net new business in Institutional was concentrated on European equities andproperty against net outflows in UK balanced mandates and Asia Pacific equities.In Retail, net inflows in European bonds and Asia Pacific equities wereoutweighed by net outflows in European specialist equities on the back of recentfund manager changes. In the medium term we expect to see resumed growth inRetail and opportunities for Institutional in both fixed income and equities. Annual results for 2005 are expected to be announced on 21 February 2006. For further information, please contact: Henrietta Jowitt Tel: 020 7658 6166Head of Marketing and CommunicationsSchroders plc Forward-looking statements This trading update contains certain forward-looking statements with respect tothe financial condition, results, operations and businesses of Schroders plc.These statements and forecasts involve risk and uncertainty because they relateto events and depend upon circumstances that will occur in the future. There area number of factors that could cause actual results or developments to differmaterially from those expressed or implied by these forward-looking statementsand forecasts. Nothing in this trading update should be construed as a profitforecast. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Schroders