Qualitas (QAL) H2 2025 earnings summary

Executive summary

• Achieved record annual growth in base management fees of 31% and funds management EBITDA margin of 52% for FY25, with NPBT up 36% year-on-year, driven by strong credit fund performance and platform expansion.

• Normalised net profit after tax rose 36% to $37 million, reflecting robust earnings momentum and margin expansion from performance and principal income.

• Fee Earning FUM reached $8.7 billion, up 28% year-on-year, with $4.6 billion deployed and 75–79% in residential sector.

• Embedded and unrecognised performance fees increased to $92 million, up 23% year-on-year.

• Continued investment in talent and operational efficiency, including a 21% increase in investment team headcount and new senior roles.

Financial highlights

• Base management fees grew 31% to $49 million; recurring funds management revenue up 25% to $67 million year-on-year.

• Funds management EBITDA increased 39% to $56 million, with a margin of 52%.

• Principal income rose 35% to $31.3 million; performance fee revenue up to $8.3 million.

• Normalised Group NPAT up 36% to $37 million; normalised Group EPS rose 35% to 12.3 cps.

• Dividend for FY25 was 10 cps, up 25% year-on-year, with a payout ratio of 81%.

Outlook and guidance

• FY26 NPBT guidance of $60–66 million, representing 13–25% growth over FY25.

• EPS for FY26 estimated at 14.0–15.4 cps; dividend payout ratio to remain between 50%–95% of operating earnings.

• Anticipates continued growth in Fee Earning FUM and increased fund investments as delayed construction drawdowns are realized.

• Growth outlook supported by global capital flows favoring Australia, CRE momentum, and a robust origination network.