Level 11, 191 Queen Street
1010 Auckland, nz
Bancorp: Preliminary figures for 2012/2013 highlight positive business performance
- Overall performance climbed 200% to NZD 41.1 million (EUR 24.6m) (previous year: NZD 13.7 million (EUR 8.2m))
- Net profit of around NZD 4.6 million (EUR 2.8 m) (previous year: NZD -0.1 million (EUR - 0.06m))
- Growth strategy being systematically implemented
- Positive outlook for current financial year 2013/2014
- Intra-year dividend payments to continue
Bancorp Wealth Management New Zealand Limited (Bancorp), New Zealand's leading banking group in the private and investment banking sector with an international focus, has successfully completed the past 2012/2013 financial year and systematically advanced the Group's ongoing development.
On the basis of preliminary figures, overall performance climbed 200% to NZD 41.1 million (EUR 24.6m; previous year: NZD 13.7 million (EUR 8.2m)). Group-wide revenues rose by around 142% in the reporting period (1 July 2012 to 30 June 2013) to NZD 31.4 million (EUR 18.8m; 2011/2012: NZD 13.0 million (EUR 7.8m)). Other income increased significantly to NZD 9.7 million (EUR 5.8m; 2011/2012: NZD: 0.7 million (EUR 0.4m)). At around NZD 4.6 million (EUR 2.8 m), net earnings for the year were up significantly compared to the same period of the previous year (2011/2012: NZD -0.1 million (EUR ‑0.06m)). Earnings per share amounted to NZD 0.42 (EUR 0.25) as at 30 June 2013 (total number of shares: 11,000,001).
This significant rise in sales revenue is due in particular to the expansion of the strategic equity investment in Boston Marks Holdings Limited (Boston Marks) from 20% to 40%. As a result, the international specialist for the brokerage of aircraft insurance was added to the Bancorp consolidated group. Thus, 96% of sales generated in the 2012/2013 financial year related to the Aviation division. In the second business area, Private Banking, rising sales volumes were generated in particular by the growth of the bond programme that has been in place since 2009.
The ongoing strategic development of the company is also positively reflected in its accounting ratios. With total assets of around NZD 90.0 million (EUR 53.9m) as at 30 June 2013 (30 June 2012: NZD 40.7 million (EUR 24.4m)) and a significant surge in equity to around NZD 18.6 million (EUR 11.1m; 30 June 2012: NZD 5.5 million EUR 3.3m)), the equity ratio as at the end of the reporting period was around 20.7%. Cash and cash equivalents amounted to NZD 5.2 million (EUR 3.1m) as at 30 June 2013 (30 June 2012: NZD 4.6 million (EUR 2.8m)).
In the current 2013/2014 financial year, the company will continue to focus on expanding its market position in both business areas. The growth driver and core element of the chosen expansion strategy in Aviation is the equity investment in Boston Marks, whose international positioning provides access to new customer groups and sales markets. In Private Banking, in addition to continuous service improvement and extending the product range, Bancorp will also seek to steadily scale up its sales structures. The number of financial consultants doubled to 23 in the reporting period and is expected to rise to 50 in the medium term. Alongside a stronger penetration of the Japanese market, currently the most important sales market in Private Banking, the division will also focus on tapping new markets in Asia, such as South Korea.
Against this backdrop, Bancorp's management is anticipating that the positive trend will continue. According to current internal planning, a sales increase of at least 15% with growing profitability is forecasted for the current financial year 2013/2014. The company will also continue to implement intra-year dividend payments, thereby accommodating the requirements of its shareholders. The dividend in the past 2012/2013 financial year was NZD 0.045 or EUR 0.027 (year-end dividend of NZD 0.022, interim dividend of NZD 0.023). A dividend of at least the same amount is expected for the current financial year.
For more information visit: www.bancorp.co.nz
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