Prime’s Growth Ambitions Face Test as It Integrates Acquisitions and Scales Technology
Prime Financial Group has reported robust FY25 results, doubling its revenue run rate and expanding its high-net-worth client base through strategic acquisitions. The company sets ambitious growth targets for FY26 and beyond, underpinned by technology investments and leadership enhancements.
- FY25 revenue reached approximately $50 million, with run rate exceeding $55 million
- Acquisitions added $17 million in revenue over three years, including Lincoln Indicators
- Funds under management grew by $600 million, expanding high-net-worth client base tenfold
- Upgraded $41 million funding facility with Westpac supports growth strategy
- FY26 guidance targets 15-20% revenue growth and 20-25% EBITDA increase
Strong Financial Momentum
Prime Financial Group Limited (ASX, PFG) has delivered another year of impressive growth, reporting approximately $50 million in revenue for the 2025 financial year. This milestone not only surpasses the company’s three-year revenue goal set in FY22 but also reflects a run rate revenue exceeding $55 million from continuing operations. The company’s underlying EBITDA margin remained steady at 24%, underscoring operational efficiency amid expansion.
Strategic Acquisitions Fuel Expansion
Prime’s growth trajectory has been significantly bolstered by acquisitions, with four transactions over the past three years contributing $17 million in additional revenue. The largest of these, Lincoln Indicators, added approximately $10 million in revenue and increased funds under management by around $600 million. This acquisition also expanded Prime’s high-net-worth client base by a factor of ten, adding 3,300 new clients and enhancing the company’s investment platform capabilities.
Technology and Talent Investments
Recognising the importance of technology in delivering sophisticated financial solutions, Prime has undertaken a comprehensive technology review. Initiatives include data consolidation, CRM enhancements, and piloting artificial intelligence tools to improve efficiency and client engagement. The company also strengthened its leadership team by appointing Sharon Papworth as Chief Financial Officer, bringing extensive experience in private equity and ASX-listed environments.
Shareholder Support and Governance
At its 2025 Annual General Meeting, Prime secured strong shareholder backing for key resolutions, including the re-election of Director Tim Bennett and the approval of performance rights for senior executives. The meeting also ratified prior share issues related to client acquisitions and approved a cap on aggregate non-executive remuneration, reflecting sound governance practices aligned with growth ambitions.
Looking Ahead, Ambitious Growth Targets
Prime Financial Group projects continued momentum into FY26, targeting 15-20% revenue growth, 20-25% underlying EBITDA increase, and a substantial 125-150% rise in operating cash flow. The company remains on track to double revenue again to $100 million by FY28-FY30, aiming for a 30% EBITDA margin. This outlook is supported by ongoing organic growth, further accretive acquisitions, and technology-driven efficiencies.
Bottom Line?
Prime’s strong FY25 foundation sets the stage for ambitious growth, but integration and technology execution will be key to sustaining momentum.
Questions in the middle?
- How will Prime integrate its recent acquisitions to maximise synergies and client retention?
- What impact will technology investments, including AI tools, have on operational efficiency and client service?
- Can Prime sustain its aggressive growth targets amid evolving market and regulatory conditions?
