Shares in financial services company HUB24 Ltd (ASX: HUB) were down more than 5% at the time of writing to $10.69 with the release of the company's half-year results.
Focused on the delivery of the HUB24 platform, which supports the achievement of superior superannuation and investment outcomes for investors, HUB24 Ltd has seen its share price steadily trend upwards in the last 12 months, from $4.55 at this time last year.
But today's results failed to excite investors, with HUB24 sliding down substantially from its February 23 close of $11.30.
HUB24 reported an underlying NPAT up 75% to $2.1 million on an underlying EBITDA up 185% to $4.9 million, with revenue up 49% to $41 million – indicating a lot of expenses that have also been logged in the reporting period.
Funds under administration increased 66% from the previous corresponding period, from $4.1 billion to $6.9 billion at December 31, now at $7.2 billion – a key item driving NPAT performance.
HUB24 has focused on increasing its investment in technology development and the trend to move its advisers away from institutionally-aligned licensees towards more flexible licensees with the adoption of managed accounts expected to push momentum through to the second-half of FY18 and increase HUB24's brand recognition.
