Challenger reports stellar FY17 results amid rising AUM

Company News

by Jessica Amir

Challenger (ASX:CGF) has reported record 2017 financial year results, on the back of stronger assets under management.

The financial services firm that focuses on annuities saw its statutory net profit after tax (NPAT) climb 21 per cent in the year to $398 million.

Challenger’s EBIT also rose 21 per in FY17 to $45 million, compared to the prior corresponding period’s $37 million, thanks to a drop in its expenses and a rise in its net income.

The group’s net flows soared from $2.4 million in FY16 to $6.2 million in FY17.

At the same time the company announced its undertaking a $500 million equity placement to Japanese MS&AD Insurance, which it has a strategic relationship with.

Shares in Challenger (ASX:CGF) closed marginally lower yesterday to $12.85.
 

Jessica Amir

Finance News Network
Jessica joined FNN in January 2017 after having worked in financial advising for seven years and in TV journalism for seven years, specialising in finance, equities and analysis. She has interviewed former Prime Ministers of Australia, Tony Abbott, Julia Gillard and Kevin Rudd and ex Treasurer Jo Hockey. Jessica has worked as a journalist with Sky News Business, ABC 1, ABC's The Business, ABC24 and has also been a regional Channel 7 and 9 TV reporter with Prime7 and Win News.