HUB24 upgrades targets after strong half

There remains continued uncertainty about the ownership and strategy of institutionally-owned platforms, according to HUB24 which now boasts around 8% market share.

HUB24 referenced the uncertainty around institutionally-owned platforms in the analyst briefing accompanying its first-half results which saw it post a 54% increase in net profit after tax on the back of record platform net inflows for the period of $9.5 billion, up 31% over the prior corresponding period.

The directors declared a fully-franked interim dividend of 24 cents per share, up 30%.

The result saw HUB24 upgrade its target with respect to Platform funds under administration to a range of $123 billion to $135 billion, from its earlier forecast of $115 billion to $123 billion.

HUB24 chief executive, Andrew Alcock was upbeat about the half-year performance and predicted strong growth the increasing profitability.

The company’s overview of the markets said that following a period of significant disruption, investment is returning to the advice industry and business models are evolving.

“There is the emergence of a new category of mid-to-large sized independent advice firms, who see an opportunity to invest and grow,” it said. “Independent advice, accounting and multidisciplinary firms are more willing to invest in technology and data solutions that provide them access to best of breed solutions and empower them to grow and operate sustainable businesses.”

It said HUB24 is partnering with firms to design, develop and deliver solutions.

It said that the partnerships with advice firms had led to a significant increase in the number of advisers using the HUB24 platform and that s at December, 2024, there were 4,886 advisers (31% of total advisers) who are actively using HUB24, up from 8% of total advisers as at December, 2019.