Key points
- Continued strong revenue growth of 25% to $22.9M
- Underlying EBITDA up 8% to $4.1M
- Acquisitions performing well, generating cross-referrals and collaborations
Full summary
Prime Financial Group Ltd (ASX:PFG) reported its H1 FY25 results, highlighting continued strong performance. Revenue grew 25% to $22.9M, driven by a solid performance in the Wealth segment and contributions from FY24 acquisitions. Underlying EBITDA increased 8% to $4.1M. The company's acquisitions, including Altor Capital and EPM, are performing well and generating substantial cross-referrals and collaborations. Prime's 'OneConnected' model continues to deliver robust results, with a largely recurring revenue business model supported by growing cross-referrals. The company is well-positioned for a stronger H2 FY25, with further EPS-accretive acquisitions expected to support growth. Prime has a 26-year history, $1.3B in FUM, and a global footprint, providing a full suite of advisory, capital, and asset management services to businesses and wealth clients.
Guidance
Prime expects to generate 15-20%+ revenue and Underlying EBITDA growth each year, as well as dividend growth of 3-5%. The company is focused on organic growth opportunities and pursuing further EPS-accretive acquisitions to increase its client base and product/service offerings.
Outlook
Prime's strategy for growth includes driving organic expansion in existing service lines and new offerings, as well as pursuing EPS-accretive acquisitions to add capabilities and scale. The company is well-positioned to benefit from strong tailwinds in the Wealth and Business segments, with a focus on simplifying the business, driving efficiencies, and generating continued growth in revenue, Underlying EBITDA, and dividends.