AJ Bell (AJB) H1 2026 Pre Recorded earnings summary

Executive summary

• Platform customers increased by 79,000 (12%) to 723,000 in H1 2026, with record net inflows of £4.2bn and platform assets under administration rising 5% to £108.7bn.

• Revenue rose 19% year-over-year to £183.0m, with underlying profit before tax up 15% to £79.0m and statutory PBT up 35% to £92.8m, driven by strong platform inflows and customer growth.

• Interim dividend increased 11% to 5.00p per share; £77.3m returned to shareholders via dividends and buybacks, with a new £15m buyback announced.

• The business scaled effectively despite market volatility, maintaining high service standards and customer satisfaction.

• Sale of Platinum SIPP and SSAS business completed, simplifying operations and resulting in a £21.4m profit on disposal.

Financial highlights

• Revenue: £183.0m (+19% YoY); Underlying PBT: £79.0m (+15% YoY); Statutory PBT: £92.8m (+35% YoY); revenue margin increased to 33.4bps.

• Underlying diluted EPS: 14.61p (+18% YoY); statutory diluted EPS: 17.13p (+39% YoY, includes exceptional gains).

• Total costs (excluding exceptionals) rose 21% to £106.2m, mainly from business investment and performance-related pay.

• Net cash from operating activities: £64.9m; closing cash balances: £168m.

• Net exceptional items of £13.8m included profit on disposal of Platinum SIPP/SSAS and a £7.6m write-down of the Touch intangible asset.

Outlook and guidance

• Upgraded FY 2026 guidance: revenue margin, profit before tax, and profit margin expected above prior guidance, with profit margin above 40%.

• Distribution costs to grow ~28-30% YoY, technology costs ~20-22% YoY, operational & support costs ~7-9% YoY.

• Underlying PBT margin expected at ~39-40%; no additional exceptional items anticipated.

• Continued investment in brand and marketing due to strong returns; medium-term revenue margin expected to moderate as pricing is reinvested and activity normalizes.

• Gradual impact expected from potential interest rate cuts; diversified revenue model provides resilience.