Given the volatile equity markets that dented investor confidence at the close of 2018, it is no surprise that Premier Asset Management (PAM) attracted a relatively paltry £67m in net inflows during the first-half – around a sixth of the level the same time the prior year. Combined with a negative market performance of £139m, that meant assets under management reduced marginally to £6.8bn over the six month-period. However, that had risen to £7bn by the end of April.
The retail-biased asset manager launched three new directly-invested multi-asset funds, in the hope of attracting investors with a broader range of risk appetites. That took the number of multi-asset funds to 15, with £4.4bn in assets under management. In a bid to attract more clients to those funds, management plans to launch the PremierConnect platform, which will lower costs for investors. Associated development costs of £0.23m depressed pre-tax profits.
Analysts at Numis expect adjusted pre-tax profits of £18.6m for the year to September 2019, giving EPS of 14.3p, from £18.9m and 14.8p last year.
| PREMIER ASSET MANAGEMENT (PAM) | ||||
| ORD PRICE: | 210p | MARKET VALUE: | £ 222m | |
| TOUCH: | 208-210p | 12-MONTH HIGH: | 312p | LOW: 163p |
| DIVIDEND YIELD: | 4.9% | PE RATIO: | 18 | |
| NET ASSET VALUE: | 42p* | NET CASH: | £15m | |
| Half-year to 31 Mar | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p)** |
| 2018 | 26.3 | 7.9 | 5.9 | 3.3 |
| 2019 | 26.1 | 7.2 | 5.3 | 3.4 |
| % change | -1 | -9 | -10 | +3 |
| Ex-div: | 02 May | |||
| Payment: | 07 Jun | |||
| *Includes intangible assets of £28m, or 27p a share **XD and payment dates refer to second quarterly dividend of 1.75p | ||||
