iFast Corporation AIY has reported earnings of $2.98 million for 1QFY2023 ended March, down 48.1% over the year earlier period.
The company attributes the drop to start-up costs from iFast Global Bank in the UK. In addition, the total value of assets under administration dropped too.
Revenue for the same period was up 1.9% y-o-y to $53.9 million. While the company collected lower brokerage fees, it enjoyed 522.4% jump in interest revenue.
The company's assets under administration for 1QFY2023 declined 2.6% y-o-y to $18.14 billion as at March 31, though on a q-o-q basis, it was up 4.2%. Versus 4QFY2022, the company reported better earnings too.
iFast says it has put in place various key pieces that will help lead to "a period of high growth in revenue and profitability" in the coming three years to 2025.
Key planks include stepping up the growth of its Hong Kong business, including the delivery of the ePension contract. iFast expects its "core platform business" to become bigger and more profitable too.
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The company is leaning on the digital banking operations of iFast Global Bank to launch new services, and in a way, "making tangible progress towards having a truly global business model."
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iFast, one among a handful of SGX-listed companies paying quarterly dividends, plans to keep the payout for 1QFY2023 at one cent.
iFast shares closed April 25 unchanged at $4.70.
