Interim figures from Jupiter today underlined the impact of the Coronavirus pandemic as pre-tax profits plunged by 50% to £40.8m and Assets Under Management declined from £45.9bn June 2019 to £39.2bn in June 2020.
The company, which recently bought rival Merian, said despite the decline in profits and assets many funds did well with 80% outperforming over three years and there was some sign of a return to fund inflows in Q2.
Net fund outflows were £2bn in the first half compared to £1.1bn in H1 2019.
The interim dividend per share is unchanged at 7.9p.
|
Six months ended
30 June 2020
|
Six months ended
30 June 2019
|
Year ended
31 December 2019
|
AUM (£bn)
|
39.2
|
45.9
|
42.8
|
Net outflows (£bn)
|
2.0
|
1.1
|
4.5
|
Net management fees (£m)
|
161.4
|
182.9
|
370.0
|
PBT (£m)
|
40.8
|
81.4
|
151.0
|
Basic EPS (p)
|
6.5
|
15.1
|
27.5
|
Underlying PBT (£m)
|
56.6
|
88.8
|
162.7
|
Underlying EPS (p)
|
10.0
|
15.7
|
28.8
|
Interim dividend per share (p)
|
7.9
|
7.9
|
7.9
|
Operating margin (before exceptional items)
|
36%
|
47%
|
43%
|
Source: Jupiter
Andrew Formica, chief executive, said: "For the first half of the year, in common with the wider asset management industry, Jupiter has faced challenging market conditions, largely brought about by the global coronavirus (Covid-19) pandemic.
“Although we suffered a significant fall in AUM due to both outflows and markets in the first quarter of the year, the second quarter has seen a return to moderate inflows and a partial recovery in asset prices. Despite market volatility, our investment teams have delivered strong investment outperformance reinforcing our commitment to high-conviction active management."