PSG Konsult final results February 2018
Total income for the year increased to R4.204 billion (2017: R3.843 billion), profit for the year attributable to owners of the parent rose to R566.5 million (2017: R486.9 million), while headline earnings per share grew to 43 cents per share (2017: 37.2 cents per share).
Given the company's increased confidence in business prospects and an improved economic outlook, the board decided to approve and declare a final gross dividend of 12.3 cents per share for the 2018 financial year (2017: 10.2 cents per share), representing a 21% increase from the previous financial year, from income reserves. This brings the full year increase in the total dividend to 18%, which for the first time in several years is more than our per share earnings growth for the full year. The group's dividend payout ratio nevertheless remains at the low end of the dividend payout policy range announced at the time of listing.
The recent political party leadership changes that led to a strengthening of the rand have improved the mood of South Africans, resulting in clients being more optimistic and confident about their future financial well-being.
The group's aim remains to service existing clients in an integrated manner that is seamless and market-leading, as well as to gain new clients. Several initiatives are in place to ensure this happens. The group's focus on products, platforms and client service excellence, through the quality of its advice process, works. As such, the prospects for continued growth are compelling.
The cash-generative nature of the business gives PSG Konsult several options of funding business growth initiatives which are, ultimately, aimed at enhancing our overall client experience.
The group will continue to prioritise organic growth in the domestic market, where we have relatively low but rapidly expanding market shares. The group's capital position adequately takes into account our current growth plans.