United Bankers (HLSE) H2 2024 earnings summary

Executive summary

• Achieved record revenue of EUR 62.1 million and record operating profit of EUR 23.7 million, marking the best results in 38 years of operations, driven by strong wealth management and significant performance fees from the sale of UB Nordic Forest Fund II.

• Assets under management (AUM) increased to EUR 4.8 billion, with net subscriptions of EUR 128 million, despite a EUR 134 million reduction from the forest fund sale.

• Employee and tied agent share issue was oversubscribed, resulting in 75% personnel share ownership and demonstrating strong internal commitment.

• John Ojanperä was appointed CEO in November 2024, with Patrick Anderson nominated to the Board.

• Received awards for Most Responsible Workplace and Most Inspiring Workplace in Finland.

Financial highlights

• Revenue reached EUR 62.1 million (+19.1% year-over-year); adjusted operating profit rose to EUR 23.7 million (+40.0%); adjusted EBITDA was EUR 26.4 million (+38.2%).

• Earnings per share increased to EUR 1.66 (+34.3%); profit for the period was EUR 18.4 million (+33.3%).

• Cost-to-income ratio improved to 0.62; ROE rose to 32.6%; equity ratio at 69.5%; capital adequacy ratio at 28.4%.

• Board proposes a dividend of EUR 1.10 per share, payable in two instalments in 2025.

• Market capitalisation at year-end was EUR 195.1 million (+25.8%).

Outlook and guidance

• Adjusted operating profit for 2025 is expected to be significantly below 2024 due to lower anticipated performance fees.

• Growth is expected from recurring fee-generating products, international sales, and real asset investments, with a focus on climate and green transition megatrends.

• Real estate market recovery and continued strength in forest investments are anticipated.

• Management fees from funds and asset management expected to develop steadily; performance fees to remain below prior year.