Record plc (LSE:REC) reported a 19% increase in revenue to £22.8 million for the six months ended September 30, 2026, supported by higher management and performance fees, alongside growth in assets under management.
The specialist asset manager recorded a 64% increase in operating profit to £7.3 million, compared with £4.5 million in the corresponding period last year. Its operating margin improved to 32.3% from 23.4%, reflecting revenue growth and continued cost control.
Profit after tax attributable to shareholders increased 49% to £5.6 million, while basic earnings per share rose to 2.84p from 1.93p.
Assets Under Management Rise to $130.3 Billion
Record’s assets under management (AUM) increased 14% to a record $130.3 billion, compared with $114.6 billion at March 31, 2026.
The increase included net inflows of $12.7 billion, primarily driven by new FX Alpha mandates within the company’s Absolute Return division.
Absolute Return attracted $10.4 billion in net inflows, bringing its AUM to $14.6 billion. Risk Management AUM reached $95.9 billion, while Private Markets increased to $19.8 billion.
Management fees rose 6% to £18.6 million, compared with £17.5 million a year earlier. Performance fees increased to £2.2 million from £0.8 million, supported by stronger results from currency management strategies.
The company also reported continued demand for its Solutions for Asset Managers offering and further investment activity within the Record Infrastructure Equity Fund.
Higher-Margin Products Support Profitability
Revenue from Record’s Risk Management division increased to £14.4 million from £12.7 million, while Absolute Return revenue rose to £1.7 million from £1.1 million.
Private Markets revenue increased to £6.7 million, compared with £5.4 million in the previous year, supported by higher management fees and additional income from infrastructure fund deployments.
Operating costs increased by 3% to £15.2 million, significantly below the rate of revenue growth.
The company ended September with cash and cash equivalents of £13.4 million, compared with £13.0 million at the end of March.
Chief Executive Jan Witte said the results demonstrated progress in Record’s strategy to expand its higher-margin products and develop more recurring revenue streams.
He added that the group’s performance continued to support management’s expectations for the current financial year.
Interim Dividend Reduced Under New Payout Policy
Record declared an interim dividend of 1.00p per share, down from 2.15p in the corresponding period last year.
The reduction follows a review of the company’s dividend policy, with the board introducing a new annual ordinary dividend payout range of 40% to 60% of profit after tax attributable to shareholders.
The revised policy is intended to preserve capital for investment in growth opportunities while maintaining shareholder distributions.
For the financial year ending March 2027, the board expects the total ordinary dividend to be approximately the midpoint of the new payout range.
Record also confirmed the appointment of Albert Soleiman as Group Chief Financial Officer, effective September 28, 2026.
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