iFast Q1 net profit rises to record S$8.8m on revenue growth
WEALTH management platform iFast Corporation posted a record net profit of S$8.82 million in the first quarter, almost 2.5 times the S$3.64 million in the year-ago period.
This comes on the back of a 51.4 per cent increase in net revenue, and a 43.8 per cent rise in gross revenue, iFast said in a quarterly financial update on Thursday. Net revenue went up to S$28.5 million for the three months ended March 31, 2021.
The group's assets under administration (AUA) rose to a new record of S$16.1 billion, while net inflows of client assets also registered a record S$1.28 billion.
The directors declared an interim dividend of one Singapore cent for the quarter, which will be paid on June 4. On a per share basis, earnings grew to 3.22 Singapore cents in Q1 2021, from 1.35 Singapore cents in the year-ago period.
The group expects to increase its dividend per share in 2021, compared to 2020.
"Similar to 2020, growth in profit was substantially higher than the growth in revenue, showing the positive operating leverage of the group's business model," iFast said in its statement on Thursday.
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B2C revenue for the quarter climbed 90.1 per cent to S$12.5 million, while B2B revenue went up 30.7 per cent to S$16 million.
Geographically, iFast's Singapore operation recorded new highs in sales and net inflows over the quarter, with its AUA growing 79 per cent to S$11.1 billion. Net revenue for the Singapore operation rose 57 per cent to S$19.2 million.
The group saw its highest increases in net revenue from Malaysia and China, which went up 118 per cent and 185.7 per cent respectively.
iFast shares ended Thursday 0.49 per cent or three Singapore cents higher, at S$6.18.
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