AUB Group releases half-year financials

AUB Group releases half-year financials | Insurance Business

AUB Group releases half-year financials

It’s the turn of NZbrokers parent AUB Group Limited to release its financial results for the half year ended December 31, 2020 (1H21).

For the six-month span, AUB Group reported a 44.5% increase in its net profit after tax (NPAT) attributable to ordinary shareholders. From AU$16.6 million in 1H20, the latest figure rose to AU$24 million (around NZ$25.9 million) this time around.

Underlying NPAT, meanwhile, grew 44.2% to AU$30.7 million in the first half. Broken down, here’s how AUB Group’s operating divisions performed in the period:

Operating division

Underlying pre-tax profit, 1H21

Change from 1H20

Australian broking

AU$39.3 million

60.1%

New Zealand

AU$5.2 million

5.9%

Australian agencies

AU$5.3 million

(4.8%)


In the half year, pre-tax profits from the health and rehabilitation business – which AUB Group has offloaded by selling its total shareholding in Altius Group – went up 58.4% to AU$2.8 million.

Commenting on the numbers, AUB Group chief executive and managing director Michael Emmett stated: “I’m pleased to report very strong results for the group. I’d like to thank our brokers and staff who have pulled together despite facing tremendous adversity and difficulty to help us deliver an extraordinary financial result. I’d also like to acknowledge our clients whose resilience in the face of the pandemic and their continuing confidence in our services and advice is critical to our business.

“1H21 was an important period for the group during which we were able to demonstrate the benefit of our investment in BizCover, grow broking revenue and improve broking profits across our existing network, agree the sale of Altius to finalise our exit from health and rehabilitation services, strongly progress the implementation of our two key technology platforms, make further strategic investments including in 360 Underwriting and Experien, and to continue our strategy to consolidate and scale existing businesses.”

Emmett said the abovementioned strategic initiatives leave the company “poised for strong, continued growth” both in the second half and the full year. AUB Group’s directors, meanwhile, have determined a fully franked interim dividend of AU16¢ per share payable on April 08.