AustChoice posts strong revenue rise

AustChoiceFinancial Serviceshas reported a 51 per cent rise in revenues to report a pre-tax profit of $4 million.

Revenues for the year ending June 2002, were $5.15 million compared to $2.63 million in the previous 12 months.

AustChoice managing director Roger Gumley says the strong results were achieved by expansion of the co-operative financial services distribution company.

“This has been another very strong trading year, achieved by more financial planners using our expanded range of products and services,” he says.

“We have turned this strong revenue growth into a substantial increase in operating profit which is distributed to participating adviser shareholders as cash dividends and equity allocations.”

Planners, who own 80 per cent of AustChoice, will share fully franked dividends of $2.82 million, which is double last financial year’s distribution figure.

Gumley says the co-operative’s funds under advice have risen 30 per cent to $1.3 billion by the end of the 2002 financial year.

Earlier this year, AustChoice confirmed it had been approached by a number of groups offering to acquire the business.

AustChoice appointed accountants Pitcher Partners and lawyers Baker & McKenzie to advise on the offers.