AMP shares soar on strong Q2 result
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More news: AMP shares surged after the financial services group reported a 63% leap in second-quarter net inflows for its platforms business compared to the prior corresponding period. The company also posted the first positive net cashflows for its superannuation and investments division since 2017.
Shares were up 8.1% to $1.66 at 1:20pm AEST, extending gains of nearly 45% over the last 12 months.
AMP platforms cashflow increased by 63% in Q2
The news: Financial services firm AMP has reported an increase in its platforms net cashflow and assets under management (AUM) during the second quarter, but reported a slight dip in total deposits.
The numbers: AMP Bank’s total loan book grew to $23.5 billion during the second quarter, up 2.7% compared to the prior corresponding period. Total deposits fell 0.7% year on year to $20.5 billion.
Platforms net cashflows in the second quarter lifted by 63.2% to $1.57 billion, compared to $959 million in the second quarter of 2024.
Platform AUM increased 11.4% to $83.2 billion year on year, with improvements over the quarter “reflecting investment market movements”, according to the company’s statement to the exchange.
AMP’s superannuation and investments business hit positive net cashflows for the quarter for the first time since Q2 2017, totalling $33 million. This compares to net cash outflows of $99 million in Q2 2024.
AUM for the superannuation and investments business lifted by 8.3% to $58.5 billion, driven by “investment markets and resilient inflows”.
Net cashflow for AMP's New Zealand wealth management business increased by 263.6% to $40 million and AUM increased by 9.6% to $12.2 billion.
The context: AMP chief executive Alexis George said the company’s platform business “delivered another standout performance” which is supported by innovation in its offering such as through the AI File Note tool and Lifetime retirement solutions.
Despite the positive momentum, including the positive cashflow milestone for the superannuation business, George said “investment markets remain volatile, and we continue to see sustained competitive pressure, as well as accelerating pace of change, driven by AI”.
The source: ASX
