Sanne Group (SNN)

Sector:

Financials

Index:

FTSE 250

604.00p
   
  • Change Today:
    -1.00p
  • 52 Week High: 752.00
  • 52 Week Low: 468.50
  • Currency: UK Pounds
  • Shares Issued: 146.53m
  • Volume: 169,060
  • Market Cap: £885.07m

Sanne profits halved despite revenue jump

By Duncan Ferris

Date: Tuesday 10 Sep 2019

LONDON (ShareCast) - (Sharecast News) - Sanne Group said on Tuesday that its interim profits more than halved as one-off costs and investment in new employees outweighed double-digit revenue growth.
The trust and fund administration services provider said profit before tax was £5.4m for the six-month period ended 30 June, down 50.3% on the same period last year, as non-underlying costs rose from £8.5m to £13.3m.

This increase came as Sanne faced costs related to the refinancing of its banking facilities, as well as a regulatory fine.

First-half underlying operating margins declined from 30.4% to 26.4% as the company said it invested in people in its client service teams, before being able to recognise revenues from new clients.

Total revenue for the period rose 20% to £78.7m following 13% organic revenue growth and full contributions from LIS in Luxembourg as well as AgenSynd in Madrid, which was acquired in the second half of last year.

The FTSE 250 company proposed an interim dividend of 4.7p per share, up from 4.6p last year.

Sanne said it is taking action to improve its underlying operating margin but warned that the items impacting profitability in the first half are unlikely to be fully compensated for in the second. As a result, the full-year underlying operating profit margin is set to be between 28% and 30%, while earnings per share are still expected to fall in line with revised expectations announced in July.

Chief executive Martin Schnaier said: "Our record new business wins demonstrate that Sanne's client proposition remains very attractive and our increasing focus on fast-growing Alternative asset classes is driving significant revenue momentum. However it is clearly disappointing that the first half profitability has come in materially below our original expectations."

Sanne Group shares were down 1.40% at 564.00p at 0944 BST.

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Sanne Group Market Data

Currency UK Pounds
Share Price 604.00p
Change Today -1.00p
% Change -0.17 %
52 Week High 752.00
52 Week Low 468.50
Volume 169,060
Shares Issued 146.53m
Market Cap £885.07m

Sanne Group Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
77.7% below the market average77.7% below the market average77.7% below the market average77.7% below the market average77.7% below the market average
76.92% below the sector average76.92% below the sector average76.92% below the sector average76.92% below the sector average76.92% below the sector average
Price Trend
78.01% above the market average78.01% above the market average78.01% above the market average78.01% above the market average78.01% above the market average
80.82% above the sector average80.82% above the sector average80.82% above the sector average80.82% above the sector average80.82% above the sector average
Income
86.45% below the market average86.45% below the market average86.45% below the market average86.45% below the market average86.45% below the market average
100% below the sector average100% below the sector average100% below the sector average100% below the sector average100% below the sector average
Growth
35.29% below the market average35.29% below the market average35.29% below the market average35.29% below the market average35.29% below the market average
62.39% below the sector average62.39% below the sector average62.39% below the sector average62.39% below the sector average62.39% below the sector average

What The Brokers Say

Strong Buy 7
Buy 0
Neutral 3
Sell 0
Strong Sell 1
Total 11
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Sanne Group Dividends

  Latest Previous
  Final Interim
Ex-Div 23-Apr-20 19-Sep-19
Paid 20-May-20 18-Oct-19
Amount 9.40p 4.70p

Trades for 07-Apr-2020

Time Volume / Share Price
16:35 60,922 @ 604.00p
16:29 150 @ 600.00p
16:29 42 @ 599.00p
16:29 20 @ 599.00p
16:28 581 @ 600.17p

Sanne Group Key Personnel

CFO James Ireland
CEO Martin Schnaier

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