Magellan Financial Group (MFG) H1 2025 earnings summary

Executive summary

• Adjusted net profit after tax for 1H25 was $84.1 million, down 10% year-over-year; statutory net profit after tax was $94.0 million, also down 10% year-over-year.

• Leadership transition completed with Sophia Rahmani appointed CEO effective March 2025, alongside key executive hires to strengthen management stability and support strategic growth.

• Strategic partnerships with Barrenjoey and Vinva contributed to earnings diversification and capability expansion, with new systematic equity funds launched.

• Employee engagement improved by 12 points year-over-year.

• Business now spans global infrastructure, Australian and systematic equities, investment banking, and markets infrastructure, with a strong global distribution footprint.

Financial highlights

• Adjusted net profit after tax was $84.1 million, down 10% year-over-year; statutory net profit after tax was $94.0 million, down 10%.

• Adjusted diluted EPS was 46.8 cents, down 9% from 51.6 cents in 1H24; statutory diluted EPS was 52.3 cents.

• Performance fees rose to $6.1 million in 1H25 from $0.1 million in 1H24.

• Interim dividend of 26.4 cents per share, 85% franked, declared for payment on 12 March 2025.

• Net tangible assets at $927 million ($5.17 per share); no debt.

Outlook and guidance

• Expense guidance for FY25 remains at $105–110 million for the Investment Management business.

• Focus on delivering strong investment performance, expanding global distribution, and leveraging partnerships, especially with Vinva and Airlie.

• Capital management and dividend policy under review, with updates expected at FY25 full year results.

• U.S. market remains a priority for capital deployment, with a patient and disciplined approach.

• Confident in ability to rebuild and deliver sustainable growth.