REG - IntegraFin Holdings - 2nd Quarter Results

Integrafin HoldingsAnnouncement

18/04/2023 07:00

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RNS Number : 4876W  IntegraFin Holdings plc  18 April 2023

LEI Number: 213800CYIZKXK9PQYE87

 

 

18 April 2023

 

 

IHP Group quarterly update - Q2 of financial year 2023

 

 

 

Group headlines:

 

·      Ongoing strong flows in Q2 FY23, with net inflows to the Transact
platform of £0.9bn, and gross inflows of £1.8bn.

 

·    Record number of Transact platform clients of 228k at the end of Q2
FY23 (Q2 FY22: 218k).

 

·      The average daily funds under direction (FUD) for Q2 of financial
year 2023 was £53.8bn (Q2 FY22: £52.5bn).

 

·      Total Group revenue is expected to be £66m for the first half of
financial year 2023 (H1 FY22: £67m).

 

·      Cost guidance for financial years ending 30 September 2023 and 30
September 2024 remains unchanged (as issued at our year end reporting in
December 2022).

 

 

 

Transact platform:

 

·      Total net inflows to the Transact platform for the first half of
financial year 2023 of £1.6bn.

 

·      During Q2 of financial year 2023 c.5.5k new clients were added to
the Transact platform, and c.200 new advisers were registered.

 

·      Additionally, during Q2, a review was undertaken of portfolios in
accordance with regulatory requirements, for clients who had only small
residual balances. This ongoing exercise will help improve operational
efficiency. In this quarter it resulted in a reduction in client numbers of
c.4.2k and also registered advisers of c.270.

 

·      At the end of the quarter the total number of platform clients
was 228k, and registered advisers was 7.6k.

 

 

 

 

 

 

 

                                           Quarter ended                  Quarter ended    H1 ended 31 March 2023   H1 ended 31 March 2022

 £m                                      31 March 2023                  31 March 2022
 Opening FUD                             52,063                         54,539             50,070                   52,112
 Inflows                                 1,825                          2,092              3,294                    4,068
 Outflows                                -900                           -697               -1,669                   -1,385
 Net flows                               925                            1,395              1,625                    2,683
 Market movements                        994                            -2,376             2,313                    -1,169
 Other movements((1))                    -9                             -58                -35                      -126
 Closing FUD                             53,973                         53,500             53,973                   53,500
 Average daily FUD for the period (£m)               53,842             52,551             52,643                   53,038
 Number of registered advisers           7,563                          7,356              7,563                    7,356
 Number of platform clients              228,232                        218,787            228,232                  218,787

 

 

 

Notes: (1) Includes fees, taxes and investment income.

 

 

Time4Advice:

 

 

·      Total registered users of CURO software was 2.5k as at 31 March
2023 (10% higher than as at 30 September 2022).

 

 

Alex Scott, IHP Group Chief Executive Officer, commented:

 

"I am pleased to report another quarter of solid net inflows for the Transact
platform, with net inflows of £0.9bn for the quarter and £1.6bn in total for
the first half of financial year 2023. For the first half of the year this
represents an annualised net flow rate of over 6% of opening period FUD.

 

The retention of clients and assets on the Transact platform remains very
high. This is a result of the combination of high quality, personal, financial
planning delivered by UK authorised advisers, and the service that Transact
delivers for clients.

 

During this period of ongoing economic and market volatility, clients rely
more than ever on their advisers. The recent UK budget also announced specific
measures that will enable more saving into UK pensions. We therefore see the
demand for high quality advice only continuing to grow, and we will continue
to support UK advisers and capitalise on this market opportunity.

 

We continue to implement our platform digitalisation programme to deliver
comprehensive online functionality for advisers and clients, as well as
straight through processing for core internal administration activities. This
means that our customer services staff will be able to spend more of their
time on the most important value adding activities for advisers and clients.

 

Overall, we remain focused on our aim to be the number one provider of
software and services for clients and UK financial advisers.

 

We look forward to reporting our results for the first half of financial year
2023 on 26 May 2023."

 

 

 

 £m                                       Q3       Q4       Q1       Q2              Q3               Q4

                                          FY21      FY21    FY22     FY22     FY22             FY22             Q1 FY23   Q2 FY23

 Opening FUD                              46,929   50,310   52,112   54,539   53,500           50,300           50,070    52,063
 Inflows                                  1,994    1,967    1,976    2,092    1,703            1,505            1,469     1,825
 Outflows                                 -657     -660     -688     -697     -703             -785             -769

                                                                                                                          -900

 Net flows                                1,337    1,307    1,288    1,395    1,000            720              700       925
 Market movements                         2,112    553      1,207    -2,376   -4,152           -927             1,319     994
 Other movements((1))                     -68      -59      -68      -58      -48              -23              -26       -9
 Closing FUD                              50,310   52,112   54,539   53,500   50,300           50,070           52,063    53,973
                                          48,677   51,647   53,514   52,551   51,889           52,217           51,470    53,842

 Average daily FUD for the period (£m)

 Number of registered advisers            7,056    7,161    7,278    7,356    7,469            7,537            7,632        7,563
 Number of platform clients               205,532  208,611  213,178  218,787  221,992          224,705          226,996   228,232

Transact platform historical information:

 

 

 

 

Notes:

(1)Includes fees, taxes and investment income.

 

 

 

 

Enquiries:

 

 Investors
 Luke Carrivick, IHP Head of Investor Relations      +44 020 7608 5463

 

 Media
 Lansons: Tony Langham            +44 (0)7979692287

 Lansons: Maddy Morgan-Williams   +44 (0)7947364578

 

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