IntegraFin upbeat on robust June quarter

IntegraFin reported robust flows to its Transact platform in a third-quarter update on Tuesday, as well as an increase in the number of platform clients.

The FTSE 250 company reported net inflows of more than £0.6bn in the three months ended 30 June, with gross inflows totalling £1.5bn.

It said the Transact platform, one of its key business segments, experienced significant growth during the quarter.

The platform added 1,400 net new clients, contributing to a record number of Transact platform clients, surpassing 229,000 at the end of the period.

That represented a 3% increase compared to last year's third quarter.

Additionally, the number of registered advisers rose to 7,600.

IntegraFin's average daily funds under direction (FUD) for the quarter reached £54.3b, up from £51.9bn a year earlier.

The company said it remained confident in its financial outlook, with its guidance for the financial years ending on 30 September 2023 and 2024 remaining unchanged since its half-year report in May.

Looking at Time4Advice, IntegraFin's subsidiary providing CURO software, the company meanwhile said the total number of chargeable users reached 2,700 as at 30 June.

That represented an increase of over 8% during the quarter.

“I am pleased to report a quarter of solid net inflows for the Transact platform, with gross inflows of £1.5bn and net inflows of over £0.6bn,” said group chief executive officer Alex Scott.

“This is pleasing considering the tough macro-economic environment and reflects the strength of our market position and the attractions of our platform.

Outflows remained broadly in line with previous quarters, highlighting the resilience of our business model.”

Additionally, Scott noted that IntegraFin’s guidance for the 2023 and 2024 financial years, issued in May, remained unchanged.

“The outlook for the UK economy is uncertain as we wait to see the full effects of the Bank of England's interest rate increases.

“However, we expect net inflows to the Transact platform to continue to be resilient, and we remain focused on our aim to be the number one provider of software and services for clients and UK financial advisers.”

At 0832 BST, shares in IntegraFin Holdings were up 0.81% at 248p.

Reporting by Josh White for Sharecast.com.