PSG Financial Services reports bumper earnings growth amid challenging market conditions

PSG Financial Services’ advice-led and diversified businesses continued to drive earnings growth and competitiveness in a tough financial services market during the six months to August 31, boosted as well by higher equity market returns.

- EDWARD WEST

PSG Financial Services is a professional financial services group with an extensive national footprint and Namibian presence, and a decade of growing shareholders retuns since it listed on the JSE in 2014. SUPPLIED

Recurring headline earnings per share for the group that is owned by PSG Group, which was founded by billionaire Jannie Mouton and Chris Otto in 1995, increased by 22%, with an impressive return on equity of 28.6%, up from 26.2% at the same time last year.

The interim dividend was raised to 20 cents a share, considering the strong cash position, compared to 17 cents at the same time last year. CFO Mike Smith said in an interview the group continued its steady trend of growing major financial metrics since listing on the JSE in 2014, a trend that was unbroken even during the Covid pandemic.

“While local and global economic pressures remain challenging, a more favourable securities market positively impacted our results,” said the CEO, Francois Gouws.

PSG Financial Services reported a R853.63 million interim profit, up 30.06% over the prior period. Basic attributable earnings per share rose by 28.99% to 62.3 cents per share.

Assets under management (AUM) was up 19% to R517.6 billion. Total assets under administration increased by 21% to R721.3bn.