Man Group, a London-based asset manager, has reported a pre-tax profit of $76m for the first half of 2017, a 38% increase compared to $55m for the same period last year.
The company attributed the increase in profit to acquired intangibles amortisation of $42m, $23m in charges relating to the movement in the contingent consideration liability, and restructuring costs of $4m.
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The firm’s adjusted profit before tax for the period ended 30 June 2017 stood at $145m, up 48% from $98m in the first half of 2016. Net revenues rose 18% to $461m from $389m in the last year.
The group’s funds under management (FUM) at the end of June 2017 totalled $95.9bn, as against $76.4bn in the previous year.
Man Group CEO Luke Ellis said: “The first half of 2017 has been one of solid performance with 4% growth in management fee profits and a 48% increase in total adjusted profits as performance fees improved, with positive contributions from across the group.
“We saw strong inflows from clients during the half and a 19% increase in funds under management with growth across all our investment managers.
“However our revenue margin has compressed during the half as we have won several large, low margin mandates, meaning our management fees have grown at a much steadier pace.”
