Quilter saw record first half profits of £97mn as it works to carry out a review of its ongoing advice charges after being pulled up by the Financial Conduct Authority.
The firm’s half year results show assets under management rose to £113.8bn at the end of June, an increase of 7 per cent compared to £106.7bn at the end of December 2023.
While core net inflows totalled £1.7bn, an increase of 164 per cent compared with the first half of 2023, when it recorded £0.7bn.
Quilter said this was driven by net inflows of £1.5bn and positive market movements of £5.6bn.
Chief executive, Steven Levin, said adjusted profits of £97mn were driven by strong performance on costs and higher revenues.
It delivered an operating margin of 29 per cent, an increase of 5 percentage points on the first half of 2023.
Levin said: “Probably the most interesting thing in the results for us is the flows - we've seen a very strong growth in our net inflows at 164 per cent.
“We are really pleased with the performance of our platform, we gained market share in the first half of the year and in both quarters. What's interesting for us also is that the second quarter was stronger than the first.
“We've actually continued to build on that momentum in our net flow position, and that's coming through in both of our channels.
“We've driven up the productivity of our own advisers, and then in the IFA part of the business we've gained a lot of market share over the last few years there and IFA flows are up to £964mn net inflows, when a year ago they were basically flat.”
In June, the business appointed a “skilled person” to carry out a review into its ongoing advice charges.
It comes after it revealed in April it had been approached by the FCA and that it was now reviewing its past practice and data.
The results said an update on this should be expected in early 2025 and Levin said there was no material update yet.
He added: “The skilled person was appointed in June and that work is ongoing.
“There's not much really to say at this point, we'll come back to market as soon as we have something material to announce.”
The board has set the interim dividend at a third of last year’s total dividend, equivalent to 1.7 pence per share.
It is set to decide on the final dividend in early 2025 and said this will reflect any potential costs and remediation related to the ongoing advice review.
tara.o'connor@ft.com
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