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Bell Financial (ASX:BFG) share price up 7% following presentation

At the time of writing, the Bell Financial Group Ltd (ASX: BFG) share price was up 7.02% to $1.22. The rise in the Bell Financial share price came after the company released a presentation which was given at the Bell Potter Emerging Leaders Conference this morning.

What was in the announcement?

According to Bell Financial Group, it successfully conducted more than 70 equity capital markets transactions this year prior to 31 August 2020, raising over $1.4 billion in new equity capital and earning $48.1 million in fees, an increase of 20% compared to the prior corresponding period (pcp). 

The company stated that it had 325 financial advisers servicing 500,000 retail, wholesale and institutional client accounts. Bell Financial Group earned $71.6 million in gross brokerage revenue in 2020 prior to 31 August 2020, an increase of 14% compared to the pcp. 

According to the company, it had consistent long-term growth in its superannuation accounts with $3.6 billion in funds under advice and $12.7 million in revenue during 2020 prior to 31 August 2020, an increase of 3% on the pcp. 

Bell Financial Group stated that revenue from its third party platform was $15.9 million in 2020 prior to 31 August 2020, a 31% increase on the pcp. The company announced that its third party trading platform had delivered $4.1 million in profit before tax in 2020 prior to 31 August 2020. Bell Financial Group had $22.2 billion in sponsored holdings, up 9% on the pcp. It had 197,000 client accounts and $220 million in client cash.

According to the company, its Bell Potter Capital division had consistent revenue and earnings growth. The company stated that it was the only non bank margin lender in the Australian marketplace. It had a loan book in 2020 to 31 August 2020 of $410 million, down 26% on 2019. Its cash book was $442 million in the year to August 2020, up 31% on the pcp. Bell Potter Capital had net revenue of $9.9 million in 2020 prior to 31 August 2020, an increase of 32% compared to the prior year. Profit before tax in 2020 to 31 August 2020 for Bell Potter Capital was $3.2 million, up 128.% compared to the pcp. 

Bell Financial Group had funds under advice of $54.4 billion in the first half of 2020, down 7% compared to December 2019.

The company had revenue of $177 million in 2020 prior to 31 August 2020, this was compared to $158 million at the same time in 2019. Bell Financial Group had net profit after tax of $23.3 million in 2020 prior to 31 August 2020 and earnings per share of 7.3 cents. Earnings per share saw an increase of 23.7% compared to the pcp.

The company had no core debt and $65.5 million in net cash at 31 August 2020.

About the Bell Financial share price

Bell Financial provides stockbroking, investment and financial advisory services in Australia to retail, institutional and corporate clients. It has been listed on the ASX since 2007.

The Bell Financial share price is up more than 154% from its 52-week low of 48 cents, however, it is down 2.4% since the beginning of the year. The Bell Financial share price is up 28.42% since this time last year.

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Motley Fool contributor Chris Chitty has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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