Highlights

  • Netwealth reported record Q1 FUA of AUD 120.8B, up 26.6% YoY; Stock up by 5.4%
  • Reaffirmed FY26 guidance, expecting steady FUA flows and disciplined expense growth
  • Managed Account FUM rose 32.6% YoY to AUD 25.7B, driven by inflows

Netwealth group ltd (ASX:NWL), is a financial services company offering technology, superannuation, and administration solutions.

Quarterly Overview

NWL) reported its first-quarter results for the period ending 30 September 2025, with total Funds Under Administration (FUA) of AUD 120.8B, a 26.6% increase from the same period last year. The increase comprised total FUA net flows of AUD 4.1B and positive market movements of AUD 3.9B.

FUA net flows, excluding pension payments, stood at AUD 4.4B for the quarter, setting a new first-quarter record. The company reported that inflows were driven by transfers from existing financial intermediaries and new accounts from other intermediaries.

Funds and Account Metrics

Total inflows for the  first-quarter were AUD 8.0B, with a trailing 12-month total of AUD 30.0B. Funds under management (FUM) rose 31.3% year-on-year to AUD 29.5B, including Managed Account FUM up 32.6% to AUD 25.7B and Managed Funds up 23.0% to AUD 3.8B. Managed Account net flows of AUD 1.6B represented a 49.4% increase compared to the previous quarter.

Non-custodial FUA surpassed AUD 1.0B for the first time, increasing 82.4% year-on-year, while the number of total accounts rose by 5,146 during the quarter to 167,380.

Strategic Developments

During the quarter, Netwealth entered a strategic partnership with FinClear, an Australian financial market infrastructure provider. This partnership allows Netwealth to provide individual Holder Identification Number (HIN) data and trading access to investors and wealth professionals.

According to CEO and Managing Director Matt Heine,

“We’re excited to be adding individual HIN administration and reporting for our users, as part of our mission to continuously improve efficiencies, user experiences and customer options as we expand our platform to service greater segments of the Australian wealth management industry including stockbrokers and HNW firms.”

The company also continued progress on the upcoming launch of Netwealth Private, a new service aimed at high-net-worth and ultra-high-net-worth clients, and introduced a trading service for domestic and international bonds.

Business and Regulatory Updates

Netwealth reported continued growth in adviser and licensee relationships, along with new functional updates to improve user onboarding, fee consent processes, and payment management. The company was recognised as one of Australia’s best workplaces during the quarter and hosted its third annual Accelerate Summit for over 500 wealth professionals.

Netwealth also provided an update on the First Guardian matter, reaffirming its cooperation with regulators and commitment to assisting affected members.

Outlook

Netwealth reaffirmed its financial year 2026 (FY26) guidance, indicating that total FUA net flows are not expected to differ materially from FY25 levels. The company also expects total operating expense growth, excluding the impact of the First Guardian matter, to remain broadly in line with FY25. In addition, investment in capitalised software is projected to increase by approximately AUD 1 million compared to the second half of FY25 run rate.

Share Performance of NWL

The company’s stock is trading at AUD 32.550 per share, an increase of 5.44% from the previous close of AUD 30.870.