PSG Konsult interim results August 2017
Total income grew to R2.1 billion (R2.0 billion). Profit attributable to owners jumped to R239.4 million (R214.4 million). In addition, headline earnings per share rose to 18.2 cents per share (16.6 cents per share).
The board approved and declared a gross interim dividend of 5.7 cents per share (2016: 5.1 cents per share) from income reserves for the six months ended 31 August 2017. This is in line with the group's dividend payout policy as approved by the board of directors at the time of listing of distributing between 40% and 50% of recurring headline earnings as dividends (one third as an interim dividend and two thirds as a final dividend).
Company looking forward
The group's aim remains to service existing clients expertly, and gain new clients. A number of initiatives are in place to ensure that this happens. The group remains confident that we are well positioned to continue building our adviser network and client base despite the current uncertain and challenging economic circumstances in which we operate. The group's focus on products, platforms and client service excellence through the quality of its advice is proving to be a resilient strategy.
The cash-generative nature of the business enabled PSG Konsult to continue to invest in IT infrastructure and systems. The primary objective of this investment is to enhance the overall client experience and improve the scalability and efficiency of the group's core IT-dependent business processes. The group will continue to prioritise organic growth in the domestic market, where it has relatively low, but rapidly expanding market share. Cash flow generation remains strong, and the group will use this to fund growth initiatives which include expanding our adviser base and to pay dividends consistent with its dividend policy.