In This Article:
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Net Profit: $1.612 billion, up 14% year-over-year, down 23% from the second half of the previous year.
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Return on Equity (ROE): 9.9%, compared to 8.7% in the prior comparable period.
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Operating Income: $8.2 billion, up 4% year-over-year.
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Assets Under Management (AUM): $916.8 billion, a 2% decrease from the beginning of the fiscal year.
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Macquarie Asset Management Earnings: $684 million, up 68% year-over-year.
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Banking and Financial Services Contribution: $650 million, up 2% year-over-year.
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Commodities and Global Markets Earnings: $1.316 billion, down 5% year-over-year.
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Macquarie Capital Earnings: $371 million, down 14% year-over-year.
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Dividend: $2.60 per share, 35% franked, with a 61% payout ratio.
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Capital Surplus: $9.8 billion, down from $10.7 billion at the start of the fiscal year.
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Deposits: Record $158.3 billion, up 7%.
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Loan and Lease Portfolio: $192 billion, up 5%.
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Private Credit Portfolio Growth: $5 billion in origination during the first half.
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Regulatory Capital Ratio (CET1): 12.8%.
Release Date: October 31, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Macquarie Group Ltd (MCQEF) reported a net profit of $1.612 billion for the first half of FY25, up 14% from the prior comparable period.
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The company's return on equity (ROE) increased to 9.9% from 8.7% in the previous comparable period.
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Macquarie Asset Management saw a significant increase in performance fees, contributing to a 68% rise in earnings compared to the prior period.
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The Banking and Financial Services division achieved operational efficiencies through digitization, supporting earnings growth despite margin pressures.
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Macquarie Group Ltd (MCQEF) maintained a strong capital position with a $9.8 billion surplus, supporting ongoing business growth and investments.
Negative Points
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Assets under management decreased by 2% due to unfavorable foreign exchange movements and outflows in equity strategies.
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The Commodities and Global Markets division experienced a 5% decline in earnings, primarily due to lower client activity and subdued market conditions.
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Macquarie Capital's earnings were down 14% from the previous year, impacted by increased funding costs and a lack of impairment reversals.
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The company continues to face margin pressures in its Banking and Financial Services division due to competitive market dynamics.
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Macquarie Group Ltd (MCQEF) reported a decrease in net interest and trading income, affected by lower volatility in the Commodities and Global Markets business.