Record plc (REC) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

I'm Jan Witte, CEO of Rekord, and with me this morning is Richard Hedding, our CEO. And thank you for joining the call this morning. This financial year was my first full year since taking over as CEO of the group in April 2024. I've been at Rekord for nearly 13 years now, and having previously had responsibility for the client and investment teams, this year has brought a new set of challenges. I'm very proud of the progress we have made this year. As we will cover in this presentation, we continue to expand records offering by building on our core strengths, and we are well positioned for the future. But let's start with a review of the financial highlights. FY25 was a year of major management transition and rebuilding during which we nevertheless delivered solid financial performance. Assets under management passed 100%, billion dollar milestone at the end of last year and have remained above that figure throughout the year. We have seen a couple of large clients terminate absolute return mandates, which has impacted revenue in the year and impacted AUM. And management fees ended the year down 4%, which combined with low management with low performance fees after two exceptional years in 2022 and 2023 resulted in total revenue down 8%. I'm very pleased with the progress we have made to control costs. Costs were down 6% year on year, and even excluding the large IT write-off taken last year, costs were flat. The net result is that EPS increased by 4% to 5.03 pence per share. Our balance sheet remains strong, and therefore we have increased the ordinary dividend to 4.65 pence per share. Richard will give some more detail on the financials shortly, but let's first review our strategic and operational progress. FY25 has been a busy year. I took over the role of CEO in...