Generation Development Group (GDG) H1 2026 earnings summary

Executive summary

• Revenue increased 35% year-over-year to AUD 88.4 million, with underlying NPAT up 63% to AUD 20.1 million, driven by strong FUM growth and full-period contribution from Evidentia Group Holdings.

• Major group restructure and integration of Evidentia and Lonsec completed, with both now operating as standalone businesses and a new decentralized operating structure implemented.

• Strategic focus on capital-light assets, product innovation, and leveraging structural tailwinds in retirement and managed accounts, supported by AI deployment to enhance productivity and risk management.

• Record investment bond inflows of AUD 723 million and FUM growth from AUD 4.4 billion to AUD 5.2 billion over six months, with managed accounts FUM up to AUD 34.5 billion.

• Statutory NPAT was AUD 6.9 million, impacted by the absence of a prior year one-off gain and adjustments for non-recurring items.

Financial highlights

• Group revenue reached AUD 88.4 million, up 35% from the prior period, with expenses rising 29% to AUD 66.2 million.

• Underlying profit after tax before annuities grew 53.1% to AUD 22.2 million; underlying NPAT up 63% to AUD 20.1 million.

• Statutory NPAT was AUD 6.9 million, reflecting adjustments for non-recurring items and AASB 17 adoption.

• Dividend of 1 cent per share, fully franked, declared for HY26.

• Cash and cash equivalents at 31 December 2025 were AUD 148.4 million.

Outlook and guidance

• Positive momentum expected to continue, with margin expansion anticipated and legislative tailwinds such as Division 296 super tax and capital gains tax reforms.

• Guidance for managed account flows at AUD 12 billion in FY 2026, with new product launches and further integration with BlackRock and super funds targeted for the second half and FY 2027.

• Ongoing review of acquisition opportunities aligned with strategic priorities.

• No significant events have arisen since 31 December 2025 that would affect operations.