By Oliver Haill
Date: Wednesday 11 Oct 2017
LONDON (ShareCast) - (ShareCast News) - Hargreaves Lansdown enjoyed a strong start to its new financial year, with strong levels of net new business flows and assets under administration swelling 3.5% over the first quarter or 21% over the same period last year.
The FTSE 100 pensions and investment provider said new business was driven by winning 30,000 new customers, improved market sentiment, continued investment in digital marketing, while it also benefited from significant transfers from a competitor platform going through operational issues.
New business flow reached £1.54bn during the three months to 30 September, which with £1.3m of positive market movements led to the AUA reaching £82bn.
Total net revenue of £104.1m has been generated in the year-to-date, up 15% from the June's year-end.
"I'm pleased to report a solid start to the new financial year for net new business and revenue," chief executive Chris Hill.
"We continue to place clients at the centre of what we do and our relentless focus on the level of service that we provide is enabling both existing and new clients to save and invest with confidence."
Co-founder Stephen Lansdown sold £188m worth of HL shares via an accelerated bookbuild after markets closed on 28 September, with the shares were held in his account and withdrawn from the Hargreaves Lansdown platform on 29 September with cash settlement on 3 October.
As this transaction straddled the period end, the company said it has been treated as if both the sale and cash settlement occurred after the period end.