Ninety One profits rise after record first half

Investment manager Ninety One reported a “record” first half and positive business momentum on Tuesday, with closing assets under management growing by 7% to £140bn.

The FTSE 250 company reported net inflows of £3.9bn for the six months ended 30 September, swinging from net outflows of £0.3m in the same period last year, describing its investment performance as “competitive, with its three-year outperformance standing at 77%.

Its profit before tax increased by 39% to £132.1m, including proceeds of £14.9m from the sale of Silica.

Adjusted operating profits increased by 20%, meanwhile, to £115.6m, while basic earnings per share increased by 42% to 11.2p, and adjusted earnings per share improved by 21% to 9.7p.

The board declared an Interim dividend of 6.9p per share, rising from the 5.9p distribution it made at the interim a year ago, while Ninety One’s staff shareholding increased to 24.5% by the end of the period.

“The combination of strategic clarity, disciplined execution, competitive investment performance, a motivated, stable team and a long-term approach to business continues to work well for Ninety One,” said founder and chief executive officer Hendrik du Toit.

“While the supportive market conditions of this reporting period will not last indefinitely, we see substantial long-term growth opportunities ahead.

“We will continue to invest in our people and our business so that we can deliver for our clients - this remains our formula for value creation.”

At 0838 GMT, shares in Ninety One Group were up 0.78% at 257p.