Asset management firm Schroders topped expectations with its 2011 results, even as assets under management (AUM) took a dive.
Profit before tax rose to £407.3m in 2011 from £406.9m, ahead of market expectations of a figure of £401m. Earnings per share (EPS) came in at 115.9p, versus the consensus market forecast of 108.9p, and up from 111.8p the year before.
AUM at the end of 2011 stood at £187.3bn, down from £196.7bn a year earlier. The funds saw net inflows of £3.2bn, down from net inflows in 2010 of £27.1bn.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The full-year dividend has been nudged up to 39p (consensus forecast: 39.6p) from 37p.
"Since the year end, the tone in markets has improved as investors have seen signs of progress in the resolution of some of the problems of the Eurozone. Retail investor demand has recovered somewhat and we have generated positive net flows in both Institutional and Intermediary. However, financial markets are likely to remain volatile as the process of reducing government debt will be a long one and economic growth will remain subdued," the company said.
Michael Miles is to step down as Chairman and retire from the Board. He will be succeeded by Andrew Beeson, currently the senior independent director on the Schroders board.
More to follow ...
jh
