IOOF flags flat profits

IOOF has said that market movements will leave profits flat this year, and EPS should therefore fall slightly, but there's nothing surprising – or concerning – in that.

IOOF Holdings has 'warned' that lower average market levels this financial year will lead to lower funds under management, administration and advice (FUMA), and that this will leave underlying net profit broadly flat, at $173m–176m compared to $174m last year. That'll probably lead to earnings per share falling 2–3% due to the higher number of average shares on issue (shares were issued to buy Shadforth in August 2014, a month into last financial year). None of this should really come as a surprise, but it appears the market was still expecting earnings per share to be flat and has therefore made its traditional knee-jerk reaction to a profit warning, which is to knock the share price down by the amount of the downgrade (a touch more in fact).



{{ twilioFailed ? 'SMS Code Failed to Send…' : 'An SMS verification code has been sent ...' }}

Hi {{ user.FirstName }}

Looks like you have already taken a free trial

Please enter your payment details

We have sent you a code via SMS to {{user.DayPhone}}

please enter this code below to complete your SMS verification

We cannot send you a code via SMS to {{user.DayPhone}}

If you didn't receive SMS code please

SMS code cannot be sent due to: {{ twilioStatus }}

Please select one of the options below:

Looks you are already a member. Please enter your password to proceed

Please untick this box when using a public or shared device

Verify your mobile number to proceed...

Please check your mobile number below and press the Send Verification Code button. This will be used to complete your verification in the next step.

Please sign up for full access


Updating information

Please wait ...


{{ productPrice }} / day
( GST included )
Price $0
GST $0
Discount -{{productDiscount}}
TOTAL {{productPrice}}
  • Mastercard
  • Visa

Please click on the ACTIVATE button to finalise your membership


The email address you entered is registered with InvestSMART.

Please login or select "Don't know password"

Please untick this box when using a public or shared device

Register as a new member

(using a different email)

Related Articles