PSG Financial Services increased recurring headline earnings by 4% to R754.5 million in the six months to August, despite declines in its insurance and asset management businesses.

The group also increased its interim dividend by 10% to 22 cents per share, up from 20 cents in the same period last year.

PSG says the results were achieved in a difficult business environment, with weaker stock market conditions affecting some parts of the group.

“We achieved these results against a challenging operating backdrop, with securities market conditions much less favourable than the previous comparable period,” the group says in its interim results.

Core income, which measures income from the group’s main business activities, increased by 5% to R4.16 billion from R3.95 billion a year earlier.

Earnings per share also improved, with recurring headline earnings per share rising 5% to 60.9 cents from 58.1 cents.

PSG Wealth was the main driver of earnings growth, increasing its recurring headline earnings by 14% to R464.1 million from R407 million.

However, PSG Asset Management’s earnings fell by 5% to R188.1 million because of lower performance fees. PSG Insure recorded a 16% decline in earnings to R102.3 million, as lower investment income and storms in South Africa’s Western Cape affected its results.

Despite these challenges, the group’s total assets under management increased by 15% to R594.1 billion.

PSG Wealth managed R504.9 billion, up 12%, while assets managed by PSG Asset Management rose by 30% to R89.2 billion.

Source: https://www.namibian.com.na/psg-earnings-rise-as-wealth-business-shines/