Schroders recently announced a decline in pretax profit due to restructuring costs, despite seeing an increase in revenue and assets under management.
Financial Highlights
- Pretax profit for 2023 was reported at 487.6 million pounds, down from 586.9 million pounds the previous year. This decrease was primarily attributed to restructuring costs and investments for future growth.
- Revenue saw a positive growth, rising to 2.94 billion pounds from 2.89 billion pounds.
- Assets under management as of Dec. 31 increased to 750.6 billion pounds from 737.5 billion pounds.
- Operating profit, Schroders’ preferred metric, went down to 661.0 million pounds from 723.0 million pounds.
- The company secured net new business totaling 9.7 billion pounds.
Dividend and Future Outlook
- The board declared a dividend of 15.0 pence per share, bringing the full-year payment to 21.5 pence, unchanged from the previous year.
- Despite facing market uncertainties and adverse foreign exchange rates, Chief Executive Peter Harrison remains optimistic about future prospects. He mentioned that proactive cost management and efficiency initiatives have positioned the company for reinvestment in the business.
It’s evident that Schroders is navigating challenges in the market while strategically planning for long-term sustainability and growth.
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