Highlights

• FY26 operating profit after tax declined 9% to AU$144.9 million, while statutory profit fell 47% to AU$87.9 million.
• Closing assets under management stood at AU$36.7 billion, with average AUM increasing 2% to AU$39.1 billion.
• Strategic partner income climbed 70% to AU$52.9 million, supported by stronger contributions from Barrenjoey and Vinva.

Magellan Reports FY26 Results

Magellan Financial Group Ltd (ASX: MFG) released its FY26 Annual Report and financial statements on 27 August 2026, covering the year ended 30 June 2026. The asset manager reported weaker earnings from its investment management operations, although higher partnership income helped cushion the impact of continued outflows from Global Equities.

Operating profit after tax declined 9% to AU$144.86 million, compared with AU$159.71 million in FY25. Statutory net profit after tax dropped 47% to AU$87.92 million, reflecting fair-value losses on financial assets and expenses associated with the Barrenjoey transaction. Operating earnings per share decreased to 82.8 cents from 89.8 cents.

Investment Management Faces Revenue Pressure

Net client revenue from Investment Management declined 21% to AU$193.39 million, primarily due to a lower average management fee and continued redemptions from Global Equities. Closing AUM was AU$36.68 billion, down from AU$39.57 billion a year earlier, although average AUM increased 2% to AU$39.13 billion.

The decline in management earnings was partly offset by stronger strategic partnerships. MFG’s share of associate profits increased 70% to AU$52.95 million, supported by improved earnings from Barrenjoey and Vinva.

Barrenjoey Merger Defines FY27 Priorities

The merger between MFG and Barrenjoey Capital Partners was completed on 1 July 2026, after the FY26 reporting period. The combined group now operates across Financial Markets, Corporate Finance and Investment Management, broadening its revenue base and client offering.

MFG declared a fully franked final dividend of 25.5 cents per share, taking FY26 dividends to 65.0 cents per share. Shareholders was paid the dividend on 16 September 2026.

Outlook Focuses on Integration and Expansion

For FY27, management is prioritising integration of the enlarged business, expansion of products and clients, and geographic growth. Subject to shareholder approval, MFG plans to rename itself Barrenjoey Group Limited and change its ASX ticker to BJY. The revised dividend policy targets a payout of 60%–90% of operating profit after tax.

Note- All data presented is based on information available at the time of writing.

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