Steadfast tops target with maiden result

One of the biggest float companies to float on the stock exchange this year, Steadfast Group, has posted profits slightly ahead of its targets and reaffirmed its guidance.

After listing on the ASX earlier this month, the commercial insurance broker on Friday reported adjusted profits of $28.1 million, compared with $27.2 million forecast in its prospectus.

The numbers assume that various acquisitions of small brokers, which were only completed this month, have contributed to the bottom line for the full year.

On a statutory basis it posted a $13.4 million loss, after incurring $23.8 million in costs relating to its initial public offering. This is slightly better than the $15.7 million statutory loss forecast in its prospectus.

Gross written premium placed by its network of 280 brokers rose about 10 per cent to $4 billion.

While recent ASX debutante iSelect has suffered a sharp fall in its share price since floating in June, Steadfast has performed solidly.

After a strong debut in which its stock jumped nearly 25 per cent to $1.42 in its first day of trading, it has remained near this level and was trading at $1.40 after the result.

Chief executive Robert Kelly reaffirmed guidance that earnings before tax interest, tax depreciation and amortisation of $60.6 million for this financial year.