TURNAROUND STRATEGY
Alexander Forbes ‘back in the game’
Alexander Forbes CEO Andrew Darfoor says the financial services company is back in the game and making progress on its turnaround strategy, even as its share price slumped during the six months to September. Cash generated from its operations was a robust 103% of operating profit at the end of September, which enabled the group to pay out a dividend 6% higher at 18c per share. “[The cash flow plus growth investment thesis] is about the delivery of more cash, which in turns drives a higher dividend payout,” Darfoor said after the release of the results on Monday. “We are delivering on the cashflow part of the thesis. On growth, it is fair to say there remain sceptics who don’t believe we can deliver growth. “Our response is we delivered double-digit revenue growth in key areas aligned to our strategy and improved profits, which were up 5%.” Revenue in Alexander Forbes’ retirement segment rose 16% compared with the previous period. While the group also delivered strong top line growth...
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