Class Ltd net profit up 71%, expects to start paying franked dividends soon

Class Ltd, Class Super, Class Portfolio, results, net profit, dividendsClass Ltd, maker of Class Super and Class Portfolio, announced that net profit after tax was up 71% for the 2015/16 financial year.

Earnings before EBITDA was up 69%, though both these figures exclude ‘one-off’ costs association with the IPO. Taking into account the IPO costs net profit after tax was up 53% to $5.2 million.

“Total revenue for the year grew by 45%. This was primarily driven by an increase in billable portfolios. Class’ billable portfolios, boosted by the signing of Findex, increased by a record 30,618 in the last twelve months,” said a statement by Class announcing the results.

As at 30 June 2016 Class had 112,441 ‘billable portfolios’, including 110,614 SMSFs using Class Super. This gives Class Super an estimated 19.2% market share.

“In addition to strong growth in sales of Class Super, there has also been increasing interest in Class’ non-SMSF solution, Class Portfolio which has experienced relatively strong growth in billable portfolios since its official release in October 2015 and had close to 2,000 billable portfolios as at 30 June 2016.”

“Class’ financial performance demonstrates a fast growing business,” said Class CEO, Kevin Bungard.

“Following the positive results of this financial year we remain well positioned to take advantage of new business opportunities as they arise,” he said.

Class Ltd will pay a final financial year 2015/16 unfranked dividend of one cent, and expects to start paying fully franked dividends from December 2016.

“The Directors intend to target a Dividend Payout Ratio of 50-80% of NPAT (before significant items), commencing 1 July 2017,” said the Class Ltd Full Year Results Presentation.

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