Quilter Swings to Loss on Higher Costs But Says Trends Will Improve

Quilter plc, the UK-based wealth manager, reported a loss for the year ended 31 December 2024, marking a significant shift from the previous year's profit. The company attributed the loss to higher costs, particularly market valuation changes in the policyholder tax charge. However, Quilter remains optimistic about its future prospects, citing positive trends in its business.



Quilter's loss after tax for 2024 was £34 million, compared to a profit of £42 million in 2023. The company's adjusted profit before tax, however, increased by 17% to £196 million, driven by strong revenue growth and cost discipline. Quilter's operating margin also improved by two percentage points to 29%.

Steven Levin, Quilter's Chief Executive Officer, commented on the results: "2024 was an excellent year in terms of net inflows, revenue momentum, cost discipline, and profit growth. Both our High Net Worth and Affluent segments delivered good profit progress and significantly higher new business levels. These results demonstrate the benefit of our scale dual-distribution model which has made us the UK's largest and fastest-growing retail advised platform provider."

Quilter's total assets under management and administration (AuMA) increased by 12% over the year to £119.4 billion, driven by net inflows of £4.8 billion and supportive markets. The company's core net inflows of £5.2 billion represented 5% of opening AuMA, reflecting strong momentum in the business.



Despite the loss, Quilter remains confident in its future prospects. The company is on track to deliver its proposed full-year dividend of 5.9 pence per share, representing a 13% increase from the previous year. Quilter's solvency II ratio also remained strong at 219% after payment of the recommended final dividend.

In conclusion, while Quilter's 2024 results showed a loss due to higher costs, the company's positive trends in net inflows, revenue growth, and cost discipline indicate a strong outlook for the future. Quilter's focus on its scale dual-distribution model and commitment to delivering good customer outcomes position the company well for continued success in the wealth management industry.