AUS
NZ
UK
CA
USA
IND
Highlights
- Netwealth Group's stock surged 3.8% after a record quarter, with Funds Under Administration (FUA) reaching AU$95.4 billion.
- FUA net inflows rose by 93.5% quarter-on-quarter, while Funds Under Management (FUM) grew by AU$2.0 billion to AU$22.5 billion.
- Netwealth announced Hayden Stockdale as its new Chief Financial Officer, effective 25 November.
Netwealth Group Ltd (ASX:NWL) is making waves in the S&P/ASX 200 Index, with its stock soaring higher once again. As of Thursday morning, shares in the investment platform provider have risen by 3.8%, trading at AU$27.15 compared to their closing price of AU$26.16 the previous day. This surge in Netwealth’s share price stands out, especially considering that the broader ASX 200 index is up only 0.5% during the same period.
The stock’s strong performance follows the release of Netwealth’s quarterly update for September, which highlighted impressive growth in key financial metrics, driving the company to new records.
Record Funds Under Administration Propels Netwealth
The primary driver behind Netwealth’s stock surge today is the announcement of a record quarter for Funds Under Administration (FUA). As of 30 September, FUA reached an impressive AU$95.4 billion, marking a AU$7.4 billion increase from the previous quarter. This growth was fueled by FUA net inflows of AU$4.0 billion, alongside positive market movements contributing an additional AU$3.4 billion.
Notably, FUA net inflows for the September quarter surged by 93.5% compared to the prior quarter, signaling strong investor confidence and substantial capital inflows into the platform.
In other key financial metrics, custodial FUA also saw a significant increase, rising by 32.1% year-on-year to AU$94.9 billion. For the September quarter alone, custodial FUA net inflows totaled AU$3.9 billion, representing a remarkable 91.9% quarter-on-quarter increase.
Moreover, the company's managed account balance climbed to AU$19.4 billion, up 10.4%, further underscoring Netwealth’s robust financial performance in the quarter.
Funds Under Management and Account Growth
In addition to record FUA, Netwealth also saw a significant uptick in Funds Under Management (FUM), which increased by AU$2.0 billion to reach AU$22.5 billion as of 30 September. FUM net inflows during the September quarter amounted to AU$1.4 billion, reinforcing the company’s growing presence in the funds management space.
The total number of accounts on the platform also rose by 2.7%, bringing the number of accounts to 147,165 by the end of September. This increase reflects the company’s continued success in attracting new clients and expanding its user base, a key factor in its ongoing growth trajectory.
New CFO Appointment
Adding to the positive momentum, Netwealth announced the appointment of Hayden Stockdale as its new Chief Financial Officer (CFO), effective 25 November. Stockdale brings a wealth of experience, having held senior financial roles in several notable companies, including RMS Cloud, Catapult Sports, SXiQ Digital, United Petroleum, and Interactive.
