- Washington H. Soul (ASX: SOL) has recorded a regular profit after tax worth AU$328.1 million in the FY21 results.
- SOL’s regular profit after tax rose 93%.
- The profitable results allowed the Company to declare its highest dividend in 19 years.
The ASX-listed diversified investment house, Washington H. Soul Pattinson and Company Limited (ASX:SOL) announced the results for the year ended 31 July 2021. The Company has reported a regular profit after tax of AU$328.1 million for the period, compared to AU$169.8 million in FY20.
SOL reported Group Profit after tax attributable to members, AU$273.2 million, down 71% compared to the FY20 result. The downfall in the Group Profit after tax was mainly attributable to the FY20 year, including a sizeable one-off accounting gain of AU$1.05 billion due to WHSP derecognising TPG as an associate following its merger with Vodafone. This was treated as a non-regular gain in FY20.
SOL also shared in the announcement that the regular profit excludes one thing. It is considered by the Board to be a better reflection of the underlying performance of significant investments.
SOL’s regular NPAT was up 93% primarily due to the following:
- Brickworks’ contribution of AU$82 million, showing a 95% increase from improved performance in the Building Products Australia division and a strong result from its Property division.
- New Hope’s contribution of AU$61 million, up by 45% on FY20, causing a substantial recovery in thermal coal markets.
- Round Oak Minerals increased its profit contribution by AU$103 million through improved production levels at all operations combined with a strengthening of commodity prices and lower ore treatment charges.
- SOL’s other investing activities increased their contribution by 87% to AU$129 million as markets recovered from the COVID-19 crisis.
About Washington H. Soul
Washington H. Soul Pattinson and Company Limited is an Australia- based investment house. The Company has investments in diverse portfolios such as natural resources, pharmacies, telecommunication, building materials, etc.
Meanwhile, on the ASX, SOL traded 4% higher at AU$37.060 per share.
The results portray promising future of WHSP. Like any other year, the Company has offered consistent and growing dividends to its shareholders this year.