Australian United Investment Company Ltd (ASX: AUI) reported its result for the half-year to 31 December 2017.
Australian United is one of the largest listed investment companies (LICs) in Australia, with total investable assets worth more than $1.25 billion.
Here are some of the highlights compared to the prior corresponding period.
Revenue from ordinary activities grew by 7.6% to $26.7 million. Profit after tax grew by 8.4% to $23.1 million. Excluding special dividends received, profit after tax grew by 8.4%.
The earnings per share based on the profit after tax was 18.7 cents, which was an increase of 8.1%. The interim dividend for this half-year will be 16 cents, compared to 15.5 cents in the prior corresponding period. The dividend will be fully franked.
Australian United has maintained or increased its dividend for over 25 years.
The net tangible asset (NTA) backing per share at the end of the half-year was $9.04, which represents a rise of 8.4% compared to the prior corresponding period.
Australian United's net asset backing accumulation performance for the six months was a rise of 7.8%, compared to the rise of 8.4% in the S&P/ASX 200 Accumulation Index.
At the end of the half-year Australian United's biggest five holdings were Commonwealth Bank of Australia (ASX: CBA), Australia and New Zealand Banking Group (ASX: ANZ), Westpac Banking Corp (ASX: WBC), National Australia Bank Ltd (ASX: NAB) and Wesfarmers Ltd (ASX: WES).
Foolish takeaway
I think Australian United is one of the best LICs because of its dedication to maintaining or growing the dividend every year, even though its performance and holdings are similar to most of its peers. I'd be happy to be a shareholder after another report of a dividend increase.
