Centrepoint Alliance has reported a strong performance in their unaudited financial results for FY25, surpassing their initial earnings guidance.
The firm has forecast an expanded normalised EBITDA of $10.6 million in the forward guidance for its results, marking an increase of $1.5 million, or 16 per cent, compared to FY24.
This growth was achieved after accounting for $1 million in long-term incentive (LTI) costs and $0.6 million in one-off expenses, which were largely counterbalanced by a $1.3 million release of Financial Advice Matters Deferred Incentive Income.
The firm anticipates a gross revenue of $326 million, an increase of $38 million, or 13 per cent over FY24, as well as an expected net revenue (gross profit) which is projected to reach $40.9 million, also up 13 per cent from the last financial year.
Centrepoint expects its net before tax (NBT) to climb to $7.3 million, representing a $1.7 million (30 per cent) increase over FY24.
Managed accounts saw a substantial 40 per cent increase in funds under management, rising from $303 million to $423 million. This growth was bolstered by the iQ Portfolios, which are accessible across five different investment and superannuation platforms.
This jump in profitability speaks to the company’s operational strategies and financial management, including the launch of its IconiQ superannuation and investment platform in December 2024, in association with end-to-end wealth management platform FNZ.
The launch of the service marked a significant opportunity for Centrepoint to tap into Australia’s $1.1 trillion platform market.
Chief executive officer John Shuttleworth said the platform offers financial advisers a way to manage client superannuation and investment portfolios with ease and efficiency across various investment options, including managed funds, direct shares, ETFs and term deposits.
“In developing IconiQ, we have ensured that advisers have access to one of the highest quality investment management and portfolio administration solutions at highly competitive prices,” he said.
The platform comprises two components: IconiQ Investment, which offers access to various investment options; and Super Wrap, which provides support for portfolio management through accumulation and the transition to retirement.
The platform is now in its early stages of commercialisation, with a focus on onboarding advisers, expanding the managed account offerings, and integrating with adviser software applications, according to the firm.
Centrepoint’s December 2023 acquisition of Financial Advice Matters, a Brisbane-based firm, was further strengthened in June with the addition of three advisers from Brighter Super’s advice review book. This contributed to a total increase of 22 authorised representatives, bringing the total number of advisers operating under CAF licensees to 573.
