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Highlights

  • Operating profit rose 5% year-on-year to AUD 159.7 million, while statutory net profit after tax declined 31% to AUD 165.0 million.

  • Assets under management increased 8% to AUD 39.6 billion, supported by market conditions and new product offerings.

  • The Board declared a fully franked final dividend of 25.9 cents per share and a special dividend of 21.0 cents per share, bringing total dividends to 73.3 cents per share.

Magellan Financial Group Ltd (ASX:MFG) announced its financial results for the year ended 30 June 2025 (FY25), with the release coinciding with a 5% rise in its share price to AUD 11.14 per share on the morning of 20 August 2025.

The Group reported a statutory net profit after tax of AUD 165.0 million, a 31% decline from FY24. However, operating profit rose 5% year-on-year to AUD 159.7 million, highlighting the contribution of diversified earnings streams. Operating earnings per share increased 7% to 89.8 cents.

Total assets under management (AUM) stood at AUD 39.6 billion as at 30 June 2025, representing an 8% increase from the prior year. Average funds under management for the period were AUD 38.4 billion, up 4% from FY24. Investment management revenue, however, decreased by 12% to AUD 245.7 million.

The Group’s income from strategic partnerships grew significantly, rising to AUD 31.1 million compared to AUD 10.3 million in FY24, an increase of 202%. Income from fund investments also expanded sharply, increasing 210% to AUD 42.2 million. These contributions supported the Group’s diversified earnings profile.

Magellan’s Board declared a fully franked final dividend of 25.9 cents per share, to be paid on 9 September 2025, along with a special dividend of 21.0 cents per share. This brings the total dividend payout for FY25 to 73.3 cents per share, up 12% from FY24. The Group also updated its dividend policy from FY26, committing to distribute at least 80% of operating profit, reflecting the growing role of earnings from partnerships.

Strategically, MFG advanced its partnerships during FY25. Barrenjoey Capital Partners delivered continued revenue growth, with a AUD 4 million dividend received during the year. Vinva Investment Management, in which MFG acquired a strategic stake in August 2024, launched four funds to the market and secured an institutional mandate worth AUD 985 million. Together, these partnerships contributed materially to the Group’s income.

The Group maintained its capital management initiatives, returning AUD 74 million to shareholders through a share buy-back at an average price of AUD 8.15 per share. In total, shareholders received AUD 202 million in returns during the year, comprising AUD 128 million in dividends and buy-backs. As at 30 June 2025, MFG reported net tangible assets of AUD 5.21 per share, up 3% from FY24, with no debt and liquid assets of AUD 562 million.

Looking ahead to FY26, Magellan stated it will continue to focus on investment performance, expanding its distribution footprint, and executing its partnership-led growth strategy. The Group enters the new financial year with an experienced leadership team, a debt-free balance sheet, and AUD 562 million in liquid assets to support its objectives.