FY24 Results Announcement

• Solid growth in revenue and contribution from E&P Wealth
• Resolution of legacy issues and exit from Real Asset funds business
• Challenging market conditions impacted transactional businesses

E&P Financial Group Ltd announced its FY24 results, reporting solid growth in revenue and contribution from E&P Wealth driven by growth in funds under advice and increase in proportion of FUA-based revenue, with strong FUA growth to $29.4 billion at period end. The company also achieved resolution of legacy issues and exit from the Real Asset funds business. While full year net revenue of $140.9 million was down 16% on the prior period and Underlying EBITDA of $2.0 million was materially below FY23, the second half of the year saw an 8.8% increase in revenue and a significant improvement in EBITDA to $6.6 million compared to a first half loss of $4.7 million. The statutory loss after tax of $27.7 million was heavily impacted by a non-cash goodwill impairment of $19.3 million in E&P Capital. The company ended the year with a cash balance of $48.9 million and no debt. E&P Wealth delivered an improved result with 8% growth in revenue, while E&P Capital saw a softer divisional performance due to challenging market conditions impacting Corporate Advisory transaction volumes, though the second half saw a 47% increase in net revenue compared to the first half. The E&P Funds division completed the rationalisation of Real Asset strategies during the period, and the Claremont Global strategy continued to expand its distribution network and product offering.

The start of FY25 has been promising, with July trading consistent with the improved performance in the second half of FY24. The implementation of strategic initiatives aimed at driving revenue growth and enhancing operating margins continues to progress as planned.

Looking ahead, the strategic growth pillars for the Group include accelerating revenue growth across E&P Wealth, E&P Capital and E&P Funds, delivering sustainable returns to shareholders, attracting and retaining talent, and enhancing the product offering and client experience. With legacy issues resolved and business rationalisation complete, the active focus is on returning EP1 to long-term profit growth and restoring value for shareholders, including the consideration of formally applying to the ASX to delist the Company.