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5 Positive Points That Investors Should Know About iFAST Corporation Ltd’s Latest Quarterly Performance

iFAST Corporation Ltd (SGX: AIY) is an Internet-based investment products distribution platform that has a presence in Singapore, Hong Kong, Malaysia, China and India. It has two main business divisions – one that caters to consumers (B2C) and the other that caters to businesses (B2B).

The company recently announced its 2018 second-quarter earnings update. In this article, I will look at five positive points to note from the latest quarterly results.

Source: iFast Results Presentation

The above is a table summarising the key metrics of iFast’s latest quarterly performance.

Overall, we can see that all metrics came in stronger on a year-on-year basis. But there are more to the favourable metrics above.

To begin with, iFast’s Assets Under Administration (AUA) increased 22.2% year-on-year to hit a record high of S$8.33 billion as at 30 June 2018. The increase was the eighth consecutive quarter of record AUA levels for the group.

The growth in AUA was across the board, with AUA at Singapore, Hong Kong and Malaysia up by 16.5%, 32.4% and 35.4%, respectively, on a year-on-year basis.

Secondly, the group’s recurring revenue for the first half of 2018 was up by 22.6% year-on-year to S$23.7 million.

Thirdly, all regions (including China with lower losses) improved their profitability in the latest quarter as compared to the same period last year.

Fourthly, as at 30 June 2018, iFast’s balance sheet remained strong with cash and cash equivalents and other investments at S$49.0 million. It had no debt.

Last but not the least, dividend per share grew by 10.3% from 0.68 cents last year to 0.75 cents this quarter.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Lawrence Nga doesn’t own shares in any companies mentioned. Motley Fool has a recommendation for iFast Corporation Ltd.