Fiducian reports strong FY result, seeks more acquisitions

Fiducian Group has declared it remains on the lookout for acquisitions on the back of what it describes as “record-breaking” net inflows and an 11% increase in net profit after tax (NPAT) to $15.7 million.

The company ascribed the record-breaking net inflows of $309 million to its existing network of 86 financial advisers.

The company’s full-year results announcement delivered to the Australian Securities Exchange (ASX) pointed not only to the 11% increase in NPAT but to a 36% increase in net inflows and an 18% increase in gross revenue.

The result also came off the back of Fiducian having acquired the financial planning business of South Australia’s People’s Choice Credit Union which accounted for an additional $1.1 billion in funds under advice and additional 40 financial advisers and support staff.

Commenting on the result, Fiducian executive chairman, Indy Singh said the company’s expanded network of financial advisers was expected to deliver funds flows that exceeded the recent record breaking year.

“Significant effort is being directed to distribution of new products and services and as well, we remain on the lookout for further earnings per share accretive acquisitions of client bases,” he said.

“As is always the case, the recent market volatility may likely be offset by strong share market growth in years to come and we intend to capitalise on this transformation for the benefit of our shareholders, stakeholders and people,” Singh said.

He described the main revenue-earning segments of the business as being Platform Administration, Funds Management and Financial Planning.