Intermediate Capital sees annual profits jump 132%

28th May 2024 07:15

(Sharecast News) - Investment firm Intermediate Capital Group (ICG) more than doubled profits in the year ended 31 March as it reported a huge increase in performance fee income, while assets under management rose by nearly a quarter.

Group profit before tax totalled £258.1m, up 132% on the year before. Management fee income increased 5% to £505.4m, topping half a billion pounds for the first time, with performance fee income soaring 276% to £73.7m.

Meanwhile, assets under management (AUM) rose 23% to $98.4bn, with fee-earning AUM rising 11% to $69.7bn. By the end of the period, ICG had $26.3bn of AUM available to deploy in new investments, of which $16.3bn was not yet earning fees.

The company raised $13bn during the year, ahead of its fundraising guidance, with the company now targeting "at least" $55bn in fundraising over the next four years in aggregate.

Chief executive Benoît Durteste said the past 12 months were characterised by a "challenging environment" with buyout volumes falling for the second straight year.

"The investment performance of our products has delivered significant value and as a firm we have scaled and broadened our capabilities and our platform - all of which positions us well to capture future growth opportunities," he said.

The company lifted its total dividend by 2% to 79p per share.