Perpetual Equity Investment Company (PIC) H2 2025 earnings summary

Executive summary

• Net profit after tax for FY25 was $21.7 million, down 23.9% year-over-year due to softer investment performance.

• Fully franked final dividend of 4.0 cents per share declared, bringing total FY25 dividend to 8.0 cents per share, matching the prior year.

• Annual dividend yield was 6.6% and grossed-up yield 9.4%, both significantly above the S&P/ASX 300 Accumulation Index yield.

• Profit reserve stands at $67.8 million, providing 2.2 years of dividend coverage.

• Board renewal included the appointment of a new independent director and a new co-portfolio manager.

Financial highlights

• Net profit after tax: $21.7 million (down from $28.6 million in FY24).

• Earnings per share: 5.69 cents (down from 7.53 cents in FY24).

• Net tangible assets after tax: $1.248 per share, a decrease of 1.9% year-over-year.

• Total investment income: $32.6 million (down from $43.6 million in FY24).

• Management fees: $5.0 million; other expenses: $2.5 million.

Outlook and guidance

• Portfolio managers see compelling long-term value opportunities despite near-term underperformance.

• Focus remains on quality, value, and capital preservation amid market volatility and momentum-driven investing.

• Dividend policy remains unchanged, with strong reserves supporting future payments.