Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Craigs Investment Partners 2013 profit more than triples

Craigs Investment Partners 2013 profit more than triples to record, led by brokerage

By Jonathan Underhill

March 24 (BusinessDesk) - Craigs Investment Partners, the brokerage owned by its executives and Deutsche Bank, more than tripled profit in 2013 as a boom year for share sales drew investors back to the market and lifted the firm’s funds under management.

Profit rose to a record $17.8 million in calendar 2013, from $5.7 million a year earlier, according to the Tauranga-based company’s annual report. Sales jumped 46 percent to $109 million. The company paid dividends of $15.41 per qualifying share, or $12.3 million for 2013, almost quadruple its 2012 payment of $3.97 a share, or $3.2 million.

There were 10 new listings on the New Zealand stock exchange last year, with initial public offerings at a nine-year high and some $7.5 billion of new capital listed, according to NZX data. Cash trading activity also surged, with the total value up about 40 percent to$42.3 billion and the volume of trades up 32 percent to 1.19 million.

Craigs's share of equity market transactions last year included lead manager for the $1.88 billion Meridian Energy IPO and Z Energy’s $840 million sale, as well as SLI Systems’s IPO, Veritas’s reverse listing of Mad Butcher. It was bookrunner for Quadrant Private Equity’s sale of its Summerset Group stake and News Ltd’s exit from Sky Network Television, for which it was also underwriter. It advised and managed bond sales for clients including Genesis Energy.

Revenue growth in 2013 was driven by brokerage, which rose 53 percent to $40.3 million, while fees climbed 37 percent to $54 million and commissions jumped 67 percent to $13.9 million. The firm now has about $8.5 billion in funds under management, which chairman Neil Craig says underpins the business.

“All parts of the business performed extremely well – there were no laggards and no extraordinary costs,” Craig told BusinessDesk. The 2014 year was shaping up as “another reasonably good year” although profit was unlikely to top last year’s record, he said.

IPOs and placements last year helped stoke secondary market activity, he said.

Operating expenses in the year rose about 28 percent to $85.6 million, led by a 36 percent increase in employee benefits to $60.9 million.

Key managers at Craigs are shareholders of CIP Holdings, which owns 50.1 percent of the company Deutsche Bank acquired its 49.9 percent holding in the company in August 2010. Craigs has 798,437 shares on issue.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Fisheries: Report On Underrsize Snapper Catch

The report found that commercial fishers caught 144 tonnes of undersized snapper in the Snapper 1 area – about 3% of the total commercial catch – in the year ending February 2015. The area stretches from the top of the North Island to the Bay of Plenty and is one of New Zealand’s most important fisheries. More>>

ALSO:

Tourism: China Southern Airlines To Fly To Christchurch

China Southern Airlines, in partnership with Christchurch Airport and the South Island tourism industry, has announced today it will begin flying directly between Guangzhou, Mainland China and the South Island. More>>

ALSO:

Dodgy: Truck Shops Come Under Scrutiny

Mobile traders, or truck shops, target poorer communities, particularly in Auckland, with non-compliant contracts, steep prices and often lower-quality goods than can be bought at ordinary shops, a Commerce Commission investigation has found. More>>

ALSO:

Auckland Transport: Government, Council Agree On Funding Approach

The government and Auckland Council have reached a detente over transport funding, establishing a one-year, collaborative timetable for decisions on funding for the city's transport infrastructure growth in the next 30 years after the government refused to fund the $2 billion of short and medium-term plans outlined in Auckland's draft Unitary Plan. More>>

ALSO:

Bullish On China Shock: Slumping Equities, Commodities May Continue, But Not A GFC

The biggest selloff in stock markets in at least four years, slumping commodity prices and a surge in Wall Street's fear gauge don't mean the world economy is heading for another global financial crisis, fund managers say. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news