Restructure helps improve EQT profit
EQT Holdings [Equity Trustees] saw a 16 per cent growth in net profit after tax (NPAT) to $15.4 million for the year to 30 June, which was significantly helped by the business’ restructure and repositioning.
The board also declared an increased final fully franked dividend of 36 cents per share, which was two cents higher than the 2016 final dividend, and brought the total dividend for the year to 71 cents.
The company said it saw a six per cent growth in its funds under management, administration, advice and supervision as well as strong performance by Corporate Trustee Services, improving momentum in Trustee and Wealth Services and a four per cent reduction in operating expenses.
EQT’s chairman, Tony Killen, said that the company’s strong balance sheet coupled with low gearing would help drive the next phase of growth as EQT was considering to pursue growth within both existing and business and through potential partnerships and acquisitions.
“The significant improvement in underlying profit reflects the hard work taken to restructure and reposition the business,” he said.
“The benefits of the restructure are still accruing and EQT is targeting further improvement in net profit after tax for 2018.
“The integration of the Sandhurst Trustees trusts and estate business, acquired during the year, was completed on time and budget, and is already contributing to our bottom line.
“Our focus is on target markets where we see strong opportunities to leverage our position as Australia’s leading independent, specialist trustee company.”
AUTHOR
Oksana Patron
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.
