The HUB24 Limited (ASX: HUB) share price has climbed 1% higher in early trade after the company reported a record result in the March 2019 quarter in an ASX announcement this morning.
What did HUB24 announce this morning?
HUB24 reported a record 33.3% increase on the prior corresponding period (pcp) in quarterly net inflows to $793 million and gross inflows up 40.9% on pcp to $1.2 billion.
The company also announced that funds under administration (FUA) increased by 55.7% on pcp during the quarter to $11.5 billion as at 31 March 2019.
HUB24 announced that it achieved first place overall for December quarterly industry net flows and maintained the fastest rate of growth in the industry in percentage terms relative to its size.
The company was also awarded well as first place for both its Managed Account Solution and Decision Support Tools in the Investment Trends Competitive Analysis and Benchmarking Report.
In a good sign for company growth, HUB24 announced 19 new licensee agreements for the HUB24 platform were signed during the quarter including agreements with 2 stockbroking firms, 2 large advice licensees and a rapidly growing advice practice aggregator.
Management noted that the record March quarter inflows came despite industry-wide structural change and distraction (i.e. the Royal Commission fallout) where overall organic flows from financial advisers to platforms have been softer across the industry.
HUB24 is benefitting from advisers transitioning clients from legacy platforms which has helped fuel the company’s momentum despite the current conditions.
Is HUB24 in the buy zone?
The HUB24 share price is up 28.7% so far this year and remains a leader in the wealth management software space.
It hasn’t all been smooth sailing for HUB in 2019 though with the share price plunging as much as 7.5% in one day back in mid-March after its disclosures indicated that a non-executive director had sold 275,000 shares on-market in the week prior.
For those who want to look elsewhere for growth, this top-rated stock could boost portfolio gains as it continues to soar in a $22 billion industry.