WCM Global Growth Surges with 31% Portfolio Return and Raises Dividends

Strong Financial Performance

WCM Global Growth Limited (ASX – WQG) has delivered an impressive financial performance for the fiscal year ending June 2025, reporting a net operating profit after tax of $69.53 million. This marks a substantial increase from the previous year’s $45.34 million, driven primarily by gains in the value of its investment portfolio and the strong performance of its investment advisor, WCM Investment Management, LLC.

The company’s net tangible asset (NTA) per share also saw a notable rise, climbing from $1.744 pre-tax in June 2024 to $2.025 in June 2025, and from $1.566 to $1.797 after tax. This growth was achieved despite the payment of four quarterly dividends totaling 7.4 cents per share, underscoring the company’s robust capital position.

Portfolio Outperformance and Investment Strategy

WCM’s portfolio returned an outstanding 31.00% for FY2025, significantly outperforming its benchmark, the MSCI All-Country World Index (ex-Australia), which returned 18.59%. This 12.41% outperformance continues a consistent trend, with the portfolio exceeding benchmark returns over one, three, and five years, as well as since inception in 2017.

The company attributes this success to WCM’s distinctive investment philosophy, which prioritizes the trajectory of a company’s economic moat and the influence of corporate culture on sustaining competitive advantages. This approach has yielded a long-term annualized return of 16.73% since inception, comfortably surpassing the benchmark’s 13.27%.

Dividend Increases and Shareholder Benefits

Reflecting its strong financial results and healthy reserves, the Board announced an increased fully franked final dividend of 2.06 cents per share for FY2025, up from the initially planned 1.91 cents. Furthermore, the Board outlined plans for progressively higher quarterly dividends through to June 2026, signaling confidence in sustained earnings and cash flow.

The Dividend Reinvestment Plan (DRP) remains active, offering shareholders the opportunity to reinvest dividends at a 5% discount, with an additional 2% discount funded by Associate Global Partners Limited as a one-time incentive. This initiative encourages shareholders to deepen their investment on attractive terms.

Capital Raising and Growth Prospects

In November 2024, WCM Global Growth successfully completed a $76.7 million capital raise through a share placement and Share Purchase Plan, issuing approximately 49.2 million new shares. This capital injection boosted the company’s total assets by 50% to $462 million and expanded its shareholder base by 26% to nearly 5,000 investors.

The Board highlighted the benefits of this capital raising, including enhanced market capitalization, improved liquidity, a more diverse shareholder base, and operational economies of scale. The proceeds have been invested in line with the company’s proven investment strategy, positioning WCM Global Growth for continued long-term growth.

Chair Valentina Stojanovska Cal expressed gratitude to shareholders for their ongoing support and reaffirmed the company’s commitment to delivering strong investment outcomes.