Whitefield Industrials Limited (WHF) has reported a robust financial year, marked by a significant increase in investment revenue and profitability. The company’s preliminary final report for the year ended March 31, 2025, showcases a 7% rise in investment revenue, reaching $26.38 million, alongside a notable 9.6% increase in net profit after tax attributable to members, totaling $22.39 million.
The surge in profitability is attributed to strong investment performance across several sectors. Investments in companies like Promedicus, Qantas, Technology One, and Computershare significantly contributed to the company’s total investment return. The major banks, Brambles, Wesfarmers, and QBE also made robust contributions. Dividend increases from CBA, Westpac and NAB, Scentre Group, QBE, Woolworths, Suncorp, Brambles, CSL, Origin, Telstra and JB Hi Fi further bolstered the company’s earnings. Total costs of operation remained lean, accounting for only 0.41% of average assets.
Whitefield’s investment portfolio generated an outright return of 7.5%, outperforming its benchmark, the S&P/ASX200 Industrials Accumulation Index, which returned 6.7%. The company also surpassed the broader S&P/ASX200 Accumulation Index, which only saw a 2.8% return. Over a three-year period, Whitefield achieved an annualized investment portfolio return of 7.8%, exceeding its benchmark by 0.2% per year and the S&P/ASX200 Accumulation Index by 2.2% per year.
Reflecting this strong performance, Whitefield has declared a dividend of 10.5 cents per ordinary share, fully franked at 30%, payable on June 12, 2025. The annualised current dividend represents 5.7% of the year-end share price, inclusive of franking credits. The company’s net asset backing per share also increased to $6.04 before deferred capital gains tax, compared to $5.86 in the previous year.
Looking ahead, Whitefield remains cautiously optimistic about the Australian economy, noting firm domestic activity supported by government spending and capital development in key sectors. However, the company acknowledges potential headwinds from global economic policies, particularly those enacted by the Trump Administration in the US, which could destabilize international markets and impact demand for Australian resource commodities.
