Praemium Limited reported a robust half-year performance with a 69.5% jump in net profit and a 9.6% rise in funds under administration, completing the OneVue platform transition and acquiring AI specialist Technotia Laboratories.
- Net profit after tax surged 69.5% to $9.9 million
- Total funds under administration grew 9.6% to $70.5 billion
- Successful completion of OneVue platform transition with expected adviser attrition
- Acquisition of Technotia Laboratories to boost AI-driven innovation
- Declared fully franked interim dividend of 1.25 cents per share
Strong Financial Momentum
Praemium Limited has delivered a solid first half for the 2026 financial year, posting a 69.5% increase in statutory net profit after tax to $9.9 million, up from $5.8 million in the prior corresponding period. Revenue from contracts with customers rose 5.3% to $56.0 million, underpinned by growth in funds under administration (FUA), which climbed 9.6% to $70.5 billion. This growth reflects the company’s strategic focus on the high-net-worth segment and the strength of its integrated wealth management platform.
OneVue Transition Completed Amid Adviser Attrition
The half-year saw the successful completion of the OneVue platform transition, with all legacy funds transferred to Praemium’s Spectrum IDPS, SMA, and Scope platforms by December 2025. While this consolidation supports long-term platform efficiency and client outcomes, it came with expected adviser exits, resulting in gross outflows of $827 million. Despite this, Spectrum’s new business inflows reached $1.4 billion since inception, with $659 million net inflows in the half-year alone, highlighting strong market demand for next-generation IDPS solutions.
Technotia Acquisition Accelerates AI Innovation
Post-reporting, Praemium acquired Technotia Laboratories for $7.5 million in shares, marking a significant step in its technology evolution. Technotia’s expertise in advanced computing and artificial intelligence is expected to enhance Praemium’s platform capabilities, particularly in superannuation administration and broader financial services innovation. This acquisition aligns with Praemium’s commitment to delivering cutting-edge, scalable solutions for advisers and their sophisticated clients.
Organisational Restructure Targets Efficiency
In February 2026, Praemium announced a major organisational restructure focused on its technology division, including a 28% reduction in headcount and closure of its Armenian software development operations by year-end. These changes aim to reduce technology salary costs by approximately $9 million annually on a run-rate basis, offsetting redundancy expenses. The restructure is expected to streamline operations and support the integration of new technological capabilities following the Technotia acquisition.
Dividend and Outlook
The company declared a fully franked interim dividend of 1.25 cents per share, reflecting confidence in its financial position and ongoing cash flow generation. Praemium’s balance sheet remains strong with net assets of $116.3 million and continued investment in capitalised research and development, signalling a commitment to innovation and growth in a competitive wealth management technology landscape.
Bottom Line?
Praemium’s blend of strategic acquisitions, platform consolidation, and operational efficiency sets the stage for sustained growth, though adviser retention and regulatory exposures remain watchpoints.
Questions in the middle?
- How will adviser attrition post-OneVue transition impact long-term revenue growth?
- What measurable benefits will Technotia’s AI capabilities bring to Praemium’s platform?
- How will the organisational restructure affect technology delivery and client service in the near term?