Market goes down; Bravura’s revenue goes up
Technology specialist Bravura Solutions experienced a 15.6 per cent increase in revenue during the last quarter as financial institutions turned to software to help them improve efficiencies in the face of a challenging market. During the quarter ended September 30, 2008, Bravura’s revenue increased from the $26.8 million taken in the previous corresponding quarter to $31 million.
Group chief executive officer and managing director Iain Dunstan believes this reflects the difficult market conditions.
“The slowdown has highlighted that some of the systems are old and expensive to run,” he said.
He said it was mainly the larger institutions that had increased their focus on software systems, with many accelerating projects that were already in the pipeline.
“When financial institutions are faced with cost cutting pressures, one way to achieve this reduction in cost is through improvements to technology,” Dunstan said.
With demand increasing for software programs, such as those that assist with product launches and the implementation of commission structures to replace legacy systems, Dunstan predicted Bravura’s revenue would continue to experience solid growth into the second quarter of FY2009.
“Our business tends to be counter cyclical — so our revenue opportunities increase in tougher times.”
Recommended for you
ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test.
Quarterly Wealth Data analysis has uncovered positive improvements in financial adviser numbers compared with losses in the prior corresponding period.
Holding portfolios that are too complex or personalised can be a detractor for acquirers of financial advice firms as they require too much effort to maintain post-acquisition.
As the financial advice profession continues to wait on further DBFO legislation, industry commentators have encouraged advisers to act now in driving practice efficiency.
