Impax Asset Management Group achieved growth in assets under management of 5.9% to £39.6bn in its six-month interim results to the end of March 2024.
This was largely driven by strong investment performance, according to the firm, alongside positive market movements and foreign exchange effects.
This is despite the fact the group suffered £2.7bn of net outflows, which its CEO Ian Simm (pictured) said was due to “asset allocation decisions by clients primarily within our wholesale channel in Europe, who rotated to a more ‘risk-off’ stance amid a higher interest rate environment”.
Revenue over the six months reached £86.2m, a small downturn compared to revenue of £88m in HI 2023, and a 4.6% fall compared to H2 2023’s revenue of £90.4m.
Adjusted operated profit came in at £25.8m, compared to £27.3m over the same period in 2023, and £30.8m during the second half of last year.
Shareholders’ equity at the end of March stood at £117.9m, compared to £119.7m during H1 2023, and £30.8m during H2 2023. The company’s interim dividend per share stood at 4.7p, the same amount as H1 last year. Impax’s total dividend for 2023 amounted to 27.6p.
Over the six-month period, Impax launched two new listed equity strategies, acquired fixed income assets via the purchase of Absalon Corporate Credit from Formuepleje Group, and increased its direct distribution capabilities. The firm also won the King’s Award for Enterprise, in the sustainable development category.
CEO Simm said: “Following nearly two years of relative headwinds, asset owner sentiment around the transition to a more sustainable economy and associated areas of Impax expertise has improved in recent months. We believe that companies providing innovative solutions that address environmental and social challenges remain compelling.
“Over the long run, we believe these companies can benefit from rising demand for their products and services and deliver strong earnings growth.”
He added: “Our strategy of increasing our direct distribution, diversifying our product offering into areas such as fixed income and focusing on compelling investment returns should translate into the delivery of further value for our stakeholders.”
