Last checked at 
(Sharecast News) - Hargreaves Lansdown posted a much better than expected full-year performance, contributing to a hike in its dividend payout.
Revenues over the year ending on 30 June grew by 15% to £550.9m (consensus: £531m), driving an 11% jump in underlying profits before tax to £339.5m.
Assets under Administration meanwhile printed at £104bn (consensus: £102.6bn) thanks to better market performance.
Net new business flows of £7.7bn were as expected.
Statutory profits before tax were up 24% to £378.3m following the sale of its Funds Library unit, for a 27% increase in diluted earnings per share to 65.9p (consensus: 51.4p).
The total dividend payout meanwhile was 31% higher than in 2019 at 54.9p per share (consensus: 45.4p) with Hargreaves's board having declared a final dividend of 26.3p and a special payout of 17.4p.
Nevertheless, commenting on the firm's results, analysts at Jefferies said: "AUA came in ahead of consensus, boding well for future estimates, while revenues and costs were roughly in line.
"Underlying operating income was a shade below consensus, but the sale of FundsLibrary has flattered the bottom line, and we expect this will outshine the continuing reduction in fee margins. The high dividend will be attractive, particularly when so many are being cut, but our longer-term view remains negative."
As of 0827 BST shares of Hargreaves Lansdown were 3.45% higher to 1,888.0p.
29 Nov 2023 09:19
IN BRIEF: Hargreaves Lansdown picks Dechra chair Alison Platt as chair
Hargreaves Lansdown PLC - Bristol, England-based wealth management platform - Hires Alison Platt, the current chair of Dechra Pharmaceuticals PLC, to be next its non-executive chair. Platt replaces Deanna Oppenheimer, who will leave the Hargreaves board at its annual general meeting on Friday next week, having been chair for six years. Platt will join the Hargreaves board in early 2024. Until regulatory approval for Platt, Senior Independent Director Penny James will be interim chair. Dechra, a veterinary drugmaker, has agreed to be taken over by EQT, which is a Swedish private equity firm, and Luxinva SA, which is controlled by the sovereign wealth fund of the United Arab Emirates. The GBP4.5 billion deal is expected to be completed by early 2024. Platt also is a non-executive director of grocer Tesco PLC and chair of general insurer Ageas (UK) Ltd. Previously, she led estate agent Countrywide as chief executive officer from 2014 to 2018.
Read more