The Magellan Financial Group Ltd (ASX: MFG) share price is in focus today after the company reported a transformational year, highlighted by the completion of its merger with Barrenjoey and pro forma FY26 revenue reaching $778 million alongside a fully franked 2H dividend of 25.5 cents per share.
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What did Magellan Financial Group report?
- Pro forma FY26 revenue: $778 million
- Pro forma operating profit after tax: $215 million
- Statutory net profit after tax: $146 million
- Fully franked 2H26 dividend: 25.5 cents per share (full-year 65 cps), 80% payout ratio
- Assets under management as at 30 June 2026: $41 billion
- Merger synergies upgraded to $15 million per year (previously $6 million)
What else do investors need to know?
The merger with Barrenjoey, completed on 1 July 2026, has reshaped Magellan Financial Group into a diversified business with roughly equal contributions from Financial Markets, Corporate Finance, and Investment Management. The combined group now employs almost 600 staff and serves clients across Australia, New Zealand, the UK, the US, UAE, and Hong Kong.
Shareholders are voting on a proposal to rename the entity to Barrenjoey Group Limited (ASX: BJY) to reflect the company's broadened strategy and vision. The Board has set a revised dividend policy targeting a payout range of 60% to 90% of operating profit after tax, initially expected at the higher end.
What did Magellan Financial Group management say?
Chief Executive Officer Brian Benari said:
It's been a landmark year in which we completed a complex merger, repositioned our heritage Global Equity strategies, and materially reduced balance sheet risk. Our group today is genuinely diversified, with solid foundations for the next phase of growth.
What's next for Magellan Financial Group?
Management's focus is on completing the integration of the merged businesses, which is progressing ahead of schedule, and delivering increased synergies and efficiencies. Core systems integration is targeted for completion by June 2027.
The company also plans to expand internationally, having secured a US swap dealer licence and launched its US fixed income operations. Investment management capability will be further built out, with growth targeted in both private and listed assets, and Barrenjoey New Zealand is expected to commence operations from 2028.
Magellan Financial Group share price snapshot
Over the past 12 months, Magellan Financial Group shares have declined 20%, trailing the S&P/ASX 200 Index (ASX: XJO), which has fallen 2% over the same period.
