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FSA GROUP LIMITED Earnings Release 2014

Aug 21, 2014

64948_rns_2014-08-21_7ea3027c-3652-49e8-8590-aacd6ec5da8e.pdf

Earnings Release

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FSA GROUP LIMITED

22 August 2014

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FY2014 Results Announcement

FSA Group is pleased to announce its final result for the financial year ended 30 June 2014 which included revenue of $65.5 million and a record profit after tax attributable to members of $13.5 million.

_Financial Overview _ FY2014 % Change
Revenue and income $65.5m + 2%
Profit before tax $20.8m + 17%
Profit after tax attributable to members $13.5m + 25%
EPS basic 10.78c + 27%
Net cash inflow from operating activities $12.0m - 14%
Dividend/share 6.00c + 20%

Chairman Sam Doumany said “2014 has been another year of strong performance despite historical low interest rates adversely affecting areas of our business. We have delivered a record profit of $13.5 million and have declared a fully franked final dividend of 3.50 cents per share. This brings the full year dividend to 6.00 cents per share. Our core division, services, continues to deliver stable and predictable cash profit. During the year we launched a third lending product, personal loans. Our focus is on growing our loan pools for our three lending products - home loans, factoring finance and personal loans. Growth in these pools will be the key to growing profitability at an above average annual rate. We are in a strong financial position to expand our operations and to take advantage of opportunities that may arise.”

Cash flow from operations

During the 2014 financial year, FSA Group delivered strong cash flow from operations driven by long term annuity income from its clients. The reduction in cash flow from operations, when compared to 2013, was mainly attributable to an increase in income tax paid.

FY2012 FY2013 FY2014
Net cash inflow from operating activities $9.4m $14.0m $12.0m

Dividends

The Directors have declared a fully franked final dividend of 3.50 cents per share, with a record date of 12 September 2014 and payable on 26 September 2014. This brings the full year dividend to 6.00 cents per share.

This announcement should be read in conjunction with the Appendix 4E which incorporates the 2014 Annual Report.

Don Mackenzie Company Secretary

FSA Group Limited Head Office Level 3, 70 Phillip Street Sydney, NSW, 2000

Phone: (1300) 660 032 Fax: (1300) 660 050 [email protected]

ASX Code: FSA