UK asset manager Premier Miton's interim profit nearly halves on elevated outflows
UK asset manager Premier Miton's interim profit nearly halves on elevated outflows June 4 (Reuters) - British asset manager Premier Miton PMIP.L said on Thursday its first-half profit nearly halved from a year earlier, hurt by higher net outflows as the Iran war rattled investors.
The group warned of a challenging market in the near term and has been taking measures to control costs and simplify its business to focus on high-return areas.
Here are some details:
Premier Miton's profit before tax for the six months ended March 31 fell 44% to £3 million ($4.03 million).
"Market and geopolitical uncertainty remains elevated and investor risk appetite has been fragile," said CEO Mike O'Shea.
The firm also proposed a full-year dividend of 3 pence a share, down from the 6 pence proposed last year.
"Cost-cutting is no panacea, with the key issue the company faces being the decline in (assets under management) from outflows," Peel Hunt analyst Ross Luckman said in a note.
Premier Miton's AUM as of March 31 stood at £9 billion, compared with £10.3 billion at the end of September.
Shares in the London-listed firm were down 6% at 35.25 pence in early trade on Thursday.
Larger peers Schroders SDR.L and Ashmore ASHM.L last month reported increased client withdrawals in March after the Iran war began.
($1 = 0.7448 pounds)
(Reporting by Prerna Bedi in Bengaluru; Editing by Subhranshu Sahu)
((Prerna.Bedi@thomsonreuters.com; +91 98052 24616;))