MA Financial Group has upgraded its earnings guidance for FY21 on the back of “continued momentum” across the business.
Formerly known as Moelis, MA Financial Group said FY21 underlying earnings per share are now expected to increase between 30 and 40 per cent on FY20, higher than the previously forecast increase of between 20 and 30 per cent.
“The strong activity levels experienced in 1H21 have persisted through 2H21. This provides confidence to increase earnings guidance,” the company said in a statement.
Assets under management increased by $400 million to $6.5 billion between June 30 and September 30.
Net fund inflows of $384 million in the third quarter were “well up” on the $14 million net outflows recorded during the period a year earlier, which the company noted had been “impacted by $130 million institutional outflow from successful realisation of construction financing loan transactions”.
The third quarter also saw record net inflows from domestic clients. Inflows of $190 million, including “strong flows into real estate credit funds”, were recorded during the quarter compared to $154 million in the first half.
As part of its business highlights, MA Financial Group said that the delisting of Redcape Hotel Group, which was floated by the company in November 2018, had been well supported by unitholders.
“MAF underwrote up to a potential $66.2 million as part of the delisting liquidity facility. Strong investor support will result in MAF subscribing for a maximum of $15 million worth of RDC securities as part of this underwriting commitment,” the company said.
Other business highlights identified by MA Financial Group include settling on over $210 million of real estate assets and that it was contracted to acquire $115 million in office-based assets from Ascot Capital.
MA Financial Group announced its rebranding from Moelis earlier this year in order to “better reflect” its activities as a “diversified financial services company”.
“We are excited about the group’s next phase of growth and expansion, which we believe is reflected in our proposed new name, brand and visual identity,” joint chief executives Julian Biggins and Chris Wyke said on the rebranding back in April.
