Challenger Financial Services Group Limited has announced a record $130 million net profit after tax for the six months to December 2006 — an increase of 117% on the previous corresponding period.
Challenger is part owned by media mogul Jamie Packer.
The Group has declared an interim dividend of five cents per share fully franked for the period, up 100% on the six months to 31 December 2005.
Challenger chief executive Mike Tilley said the result further demonstrates that our strategy of being an innovative and contemporary financial services organisation is delivering results for our shareholders.
“The result was driven by strong revenue growth across each of our businesses. By targeting fee-generating income streams and remaining focused on our core markets, we have delivered consistent growth in earnings and uplift in earnings per share,” he said.
EPS increased to 23.7 cents for the half — up 112% on the prior corresponding period.
Tilley said he was confident that Challenger could continue to achieve double digit EPS growth over the long term.
“Financial discipline is a key characteristic of Challenger’s approach. Three of our four divisions have met or bettered their return on net assets target of 18 per cent this half. We have completed a strategic review of financial planning and implementation of the strategy is due to commence from July 1 2007.”
Meanwhile, Challenger announced it has appointed Andrew Alcock and Robert Hayward to its financial planning division, as chief operating officer and director of Platforms respectively. Both positions will report to chief executive, Financial Planning, Greg Kirk.
Challenger’s Financial Planning division encompasses the financial planning group Genesys Wealth Advisers and investment administration platform Synergy Capital Management.
Australian Property Journal
