Equity Trustees chairman Tony Killen said the result was pleasing, “especially given that it was achieved during a period when there was significant time and resources allocated to important revenue, regulatory and efficiency projects as well as the Trust Company initiative”.
Operating revenue also increased, rising 16.2 per cent to $26.1 million from $22.5 million in the first half of the 2013 financial year.
Earnings per share have also risen, increasing 18.2 per cent from 49.3 to 58.3 cents per share.
Mr Killen said the fully franked dividend will be lifted 9.5 per cent from 42 cents a share to 46 cents, which will represent a payout ratio of 79 per cent on net profit after tax.
In the Equity Trustees director’s report, managing director Robin Burns noted the company’s unsuccessful takeover offer for the acquisition of the The Trust Company (TRU), reported by InvestorDaily in November last year.
Mr Burns said that the “disposal of the TRU shares that were acquired under the company’s offer resulted in an after-tax profit of $431,697”.
He said Equity Trustees will continue to refine its business structure “for the various regulatory, risk management, compliance and governance changes that have been a feature of recent years”.
According to Mr Burns, the “general investment climate was favourable” during the half year.
“Since the half year there has been some investment market volatility. However, in the absence of a major correction in the markets we expect business activity to be positive for the remainder of the current financial year,” he said.
