Praemium moves solidly back into black

A renewed executive leadership team and the sale of its European business has seen platform provider Praemium move solidly back into the black with a 41% increase in EBITDA generating a net profit after tax of $15.2 million.

The company told the Australian Securities Exchange (ASX) that continuing business revenue grew 17% to $74.3 million, underpinned by strong net inflows of $1.4 billion.

Commenting on the result, Praemium chief executive and executive director, Anthony Wamsteker said 2023 had seen key strategic decisions pay off with increased profitability and enhanced shareholder returns.

“This result, derived from continued strong net funds flow, margin expansion and discipline on directly controlled costs, has improved operating leverage,” he said.

The company said that the sale of its European business last year had seen $37.3 million returned to shareholders.

It said funds under advice (FUA) was up 9% to $44 billion, with SMA flows up 19% to $9.6 billion.