Bravura sees earnings surge
The acquisition of financial planning technology group Midwinter helped the wealth management software provider boost its earnings by 19 per cent over the 2020 financial year.
In a statement released to the market on Wednesday, Bravura said it had achieved earnings before interest, tax, depreciation and amortisation of $57.8 million, up 19 per cent from $48.6 million in the 2019 financial year.
The group’s net profit after tax also rose 22 per cent to $40.1 million over the 12 months, with the acquisitions of Midwinter and fintech group FinoComp adding $3 million to Bravura’s bottom line.
However, licence fees across the company’s wealth management arm were down to $7.9 million from $10.4 million the previous financial year, contributing to a 2 per cent decline in earnings for the wealth management business over the 12 months.
The group said its sales pipeline had been impacted by “the uncertainty arising from COVID-19”, which had “resulted in a lengthening of the sales cycle”.
However, Bravura said the crisis would be beneficial for the business in the long term by accelerating adoption of technology solutions among advice firms.
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