Hargreaves Lansdown Reports 26% Increase in Revenue for FY23

Hargreaves Lansdown, a UK investment and online trading firm, released latest financial results for the fiscal year ended June 30, 2023, and saw a significant increase of 26% in revenue on a year-on-year basis.

Trading Overview for Fiscal Year 2023 (FY 23):

• Revenue reached £735.1 million for the year, rising by 26% compared to £583.0 million in the prior year.

• Net new business inflows were £4.8 billion, 13% lower than £5.5 billion in last fiscal year.

• Assets under administration totaled £134.0 billion, increasing by 8% compared to £123.8 billion in the prior year.

• Profit before tax jumped 50% from £269.2 million in FY22 to £402.7 million in FY 23.

• During FY23, number of active clients reached 1,804,000, an increase of 67,000 in the year.

• Diluted earnings per share came in at 68.2 pence, up 49% compared to 45.6 pence in FY 22.

• The dividend for the fiscal year increased by 4.5% from 39.7 pence in FY22 to 41.5 pence.

Dan Olley​, CEO of Hargreaves Lansdown, commented: "We have delivered a robust financial performance for our full year in what continues to be a challenging broader economic environment. We welcomed a further 67,000 net new clients meaning we now support over 1.8 million with their savings and investments needs, with client retention stable at over 92%. We saw notable growth into our Active Savings proposition which continues to show the benefits of our diversified business model as we give our clients access to competitive rates for their cash. We delivered revenue growth of 26% year-on-year with cost growth within the guided range delivering a statutory profit of £402.7 million, up 50% on 2022.

"As I begin my CEO tenure, it is clear to me that at its core this is a strong business with fantastic heritage that has significant potential to benefit from the structural, demographic, and regulatory shifts in the UK and the expected growth in the wealth market."

Olley added: "My early focus is to ensure we are set up to capture this growth opportunity, that we have pace of execution, cost discipline as we travel on this journey, and that we are giving our people the best opportunity to deliver for our clients and shareholders."