L1 GROUP LIMITED — Interim / Quarterly Report 2012

Feb 15, 2012

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Appendix 4D

Interim Report

Listing Rule 4.2A.3

Company

Platinum Asset Management Limited

ASX Code

Half Year Ended

PTM 31 December 2011

Previous corresponding period – Half-Year 31 December 2010 Ended

ABN 13 050 064 287

Results for Announcement to the Market

Announcement to the market for the Platinum Asset Management Limited Consolidated Group should be read in conjunction with the attached 31 December 2011 Interim Financial Report and the 30 June 2011 Annual Report:-

		%	$A’000
Total revenue	down	14.52%	115,355
Net profit after income tax	down	14.37%	67,153
Diluted EPS (cents per share)			11.96 cps

Diluted EPS (cents per share) 11.96 cps	Diluted EPS (cents per share) 11.96 cps
The decrease in revenue and profit is directly related to the decrease in average daily funds
under management (“FUM”) when comparing the 6 month period to 31 December 2011 to 31
December 2010.
Dividends
Dividend declared	8 cents per share fully franked
Record date	27 February 2012
Payable date	12 March 2012

A dividend of 15 cents per share fully franked for the year ended 30 June 2011 was paid on 22 September 2011.

• Refer to the attached Auditor-reviewed financial statements for financial data on the Consolidated Group.

These are available at http://www.platinum.com.au/images/ptm_1211.pdf

Dividend Reinvestment Plan

Whilst the Company has a Dividend Reinvestment Plan in place, it is not activated.

P Howard Company Secretary 16 February 2012

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PLATINUM ASSET MANAGEMENT[® ] LIMITED and Controlled Entities ABN 13 050 064 287

INTERIM FINANCIAL REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2011

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PLATINUM ASSET MANAGEMENT[® ] LIMITED and Controlled Entities

INTERIM FINANCIAL REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2011

Contents	Page
Directors' Report	3
Consolidated Statement of Comprehensive Income	5
Consolidated Balance Sheet	6
Consolidated Statement of Changes in Equity	7
Consolidated Statement of Cash Flows	8
Notes to the Consolidated Financial Statements	9-10
Directors' Declaration	11
Independent Review Report	12
Directory	14

The interim financial report was authorised for issue on 16 February 2012 by the Company's Directors, who have the power to amend and re-issue the interim financial report.

The interim financial report does not include all the notes of the type normally included in an annual financial report. Accordingly, the report is to be read in conjunction with the annual report for the year ended 30 June 2011 and any public pronouncements made by Platinum Asset Management Limited during the interim reporting period in accordance with the continuous disclosure requirements of the Corporations Act 2001.

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PLATINUM ASSET MANAGEMENT[® ] LIMITED and Controlled Entities

INTERIM FINANCIAL REPORT

FOR THE HALF-YEAR ENDED 31 DECEMBER 2011

DIRECTORS' REPORT

The Directors present their report on the consolidated entity consisting of Platinum Asset Management Limited (the Company) and the entities it controlled at the end of, or during, the half-year ended 31 December 2011.

Directors

The following persons were Directors of the Company at the end of the half-year and up to the date of this report:

Michael Cole Chairman and Non-Executive Director Bruce Coleman Non-Executive Director Margaret Towers Non-Executive Director Kerr Neilson Managing Director Philip Howard Finance Director and Company Secretary

Trading Results

The profit after tax of the consolidated entity for the half-year was $67,153,000 (2010: $78,423,000) after income tax expense of $28,048,000 (2010: $35,037,000).

Review of Operations

The consolidated profit before tax for the half-year was $95,201,000 (2010: $113,460,000).

FUM for the half-year ending 31 December 2011 is shown in the table below.

Fund Platinum Trust Funds MLC Platinum Global Fund Management Fee Mandates "Relative" Performance Fee Mandates "Absolute" Performance Fee Mandates Total	Opening Flows Investment Closing balance at performance balance at 1-Jul-11 31-Dec-11 ($'million) ($'million) ($'million) ($'million) 13,042 (867) (1,310) 10,865 1,239 (148) (127) 964 1,726 24 (193) 1,557 1,277 82 (166) 1,193 531 101 (68) 564
	17,815 (808) (1,864) 15,143

Dividends

The Directors have determined to pay a dividend of 8 cents per share, fully franked (2011: 10 cents per share). The amount of the proposed dividend expected to be paid on 12 March 2012, but not recognised as a liability as at 31 December 2011, is $44,908,000 (31 December 2010: $56,135,000).

Rounding of Amounts

The consolidated entity is of a kind referred to in the Australian Securities & Investments Commission's Class Order 98/0100 (as amended) and consequently amounts in the Directors' Report and financial statements have been rounded to the nearest thousand dollars in accordance with that Class Order, unless otherwise indicated.

Auditor's Independence Declaration

A copy of the Auditor's Independence Declaration, as required under section 307C of the Corporations Act 2001, is set out on page 4. This report is made in accordance with a resolution of the Directors.

Michael Cole Chairman Sydney 16 February 2012

Kerr Neilson Director

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Auditor’s Independence Declaration

As lead auditor for the review of Platinum Asset Management Limited for the half year ended 31 December 2011, I declare that to the best of my knowledge and belief, there have been:

• a) no contraventions of the auditor independence requirements of the Corporations Act 2001 in relation to the review; and

• b) no contraventions of any applicable code of professional conduct in relation to the review .

This declaration is in respect of Platinum Asset Management Limited during the period.

AJ Loveridge Partner Sydney PricewaterhouseCoopers 16 February 2012

PricewaterhouseCoopers, ABN 52 780 433 757 Darling Park Tower 2, 201 Sussex Street, GPO BOX 2650, SYDNEY NSW 1171 DX 77 Sydney, Australia T: +61 2 8266 0000, F: +61 2 8266 9999, www.pwc.com.au

Liability limited by a scheme approved under Professional Standards Legislation.

Consolidated Statement of Comprehensive Income

For the Half-Year ended 31 December 2011

Notes Income Management fees Performance fees Administration fees Interest Net gains/(losses) on financial assets at fair value through profit or loss Net gains on foreign currency contracts Net foreign exchange (losses) on bank accounts Total income Expenses Staff Custody and unit registry Business development Share-based payments Technology Rent and other occupancy Research Other professional Miscellaneous Depreciation Legal and compliance Share registry Auditor's remuneration Mail house Periodic reporting Total expenses Profit before income tax Income tax expense Profit after income tax Other comprehensive income Total comprehensive income for the half-year Basic earnings per share(cents per share) 4 Diluted earnings per share(cents per share) 4	Half-Year to Half-Year to 31-Dec-11 31-Dec-10 $'000 $'000 104,522 118,375 261 5,321 5,252 6,006 6,177 5,738 (867) (123) 4 17 6 (378)
	115,355 134,956
	6,818 6,042 5,265 6,222 2,474 2,410 1,416 2,993 856 639 807 740 734 649 386 269 283 200 272 227 251 487 240 220 175 162 140 152 37 84
	20,154 21,496
	95,201 113,460
	28,048 35,037
	67,153 78,423
	- -
	67,153 78,423
	11.96 13.97 11.96 13.37

The above Consolidated Statement of Comprehensive Income should be read in conjunction with the accompanying notes.

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Consolidated Balance Sheet

As at 31 December 2011

Notes Current assets Financial assets at fair value through profit or loss 2 Cash and cash equivalents Term deposits Trade receivables Interest receivable Prepayments Total current assets Non-current assets Deferred tax assets Fixed assets Total non-current assets Total assets Current liabilities Payables Current tax payable Provisions Total current liabilities Non-current liabilities Deferred tax liabilities Provisions Total non-current liabilities Total liabilities Net assets Equity Contributed equity Reserves Retained profits Total equity	31-Dec-11 30-Jun-11 $'000 $'000 7,798 7,468 21,164 232,761 197,813 813 19,091 21,114 2,171 1,823 575 1,112
	248,612 265,091
	1,674 1,506 2,337 2,421
	4,011 3,927
	252,623 269,018
	5,564 5,216 13,566 14,653 1,930 1,704
	21,060 21,573
	458 687 30 50
	488 737
	21,548 22,310
	231,075 246,708
	629,091 629,091 (565,735) (567,151)
	63,356 61,940 167,719 184,768
	231,075 246,708

The above Consolidated Balance Sheet should be read in conjunction with the accompanying notes.

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Consolidated Statement of Changes in Equity

For the Half-Year ended 31 December 2011

Notes Balance at 1 July 2010 Total comprehensive income for the half-year Transactions with equity holders in their capacity as equity owners: Share-based payments 3 Dividends paid 5 Balance at 31 December 2010 Balance at 1 July 2011 Total comprehensive income for the half-year Transactions with equity holders in their capacity as equity owners: Share-based payments 3 Dividends paid 5 Balance at 31 December 2011	Contributed Reserves Retained Total Equity Profits $'000 $'000 $'000 $'000 629,091 (573,126) 169,433 225,398
	- - 78,423 78,423 - 2,993 - 2,993 - - (78,589) (78,589)
	629,091 (570,133) 169,267 228,225
	629,091 (567,151) 184,768 246,708
	- - 67,153 67,153 - 1,416 - 1,416 - - (84,202) (84,202)
	629,091 (565,735) 167,719 231,075

The above Consolidated Statement of Changes in Equity should be read in conjunction with the accompanying notes.

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Consolidated Statement of Cash Flows

For the Half-Year ended 31 December 2011

Consolidated Statement of Cash Flows For the Half-Year ended 31 December 2011
Cash flow from operating activities Interest received Distributions received Receipts from operating activities Payments for operating activities Income taxes paid Cash flow from operating activities Cash flow from investing activities Receipts from sale of investments Payments for purchases of investments Purchase of fixed assets Proceeds on maturity of term deposits and bank certificates of deposit Purchase of term deposits and bank certificates of deposit Cash flow from investing activities Cash flow from financing activities Dividends paid Payments (to)/from related party Cash flow from financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents held at the beginning of the half-year Effects of exchange rate changes on cash and cash equivalents Cash and cash equivalents held at the end of the half-year	Half-Year to Half-Year to 31-Dec-11 31-Dec-10 $'000 $'000 5,829 6,607 100 1 111,961 124,661 (17,456) (20,967) (29,532) (30,833)
	70,902 79,469
	932 3,001 (2,125) (8,689) (188) (168) 813 194,128 (197,813) (813)
	(198,381) 187,459
	(84,122) (78,497) (3) -
	(84,125) (78,497)
	(211,604) 188,431 232,761 29,758 7 (357)
	21,164 217,832

The above Consolidated Statement of Cash Flows should be read in conjunction with the accompanying notes.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Half-Year ended 31 December 2011

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The general purpose financial report for the interim half-year reporting period ended 31 December 2011 has been prepared in accordance with AASB 134: Interim Financial Reporting , other mandatory professional reporting requirements and the Corporations Act 2001 .

The interim financial report does not include all the notes of the type normally included in the annual financial report. Accordingly, this report is to be read in conjunction with the annual report for the year ended 30 June 2011 and any public pronouncements made in respect of Platinum Asset Management Limited and the entities it controlled during the interim reporting period in accordance with the continuous disclosure requirements of the Corporations Act 2001.

Under AASB 107, term deposits that have maturities of less than three months from the date of acquisition are classified as "cash and cash equivalents" in the Balance Sheet. Term deposits that have maturities of more than three months are classified as "term deposits" in the Balance Sheet. All term deposits are held with licensed Australian banks.

The accounting policies adopted are consistent with those of the previous financial year and corresponding interim reporting period. Comparative information has been reclassified where appropriate to enhance comparability.

New Accounting Standards and Interpretations

Certain new accounting standards and interpretations have been published that are not mandatory for the 31 December 2011 reporting period. The Company's and consolidated entity's assessment of the impact of these new standards and interpretations are set out below:

(i) AASB 10 Consolidated Financial Statements and revised AASB 127 Separate Financial Statements (effective 1 January 2013)

AASB 10 replaces all of the guidance on control and consolidation stipulated in AASB 127 Consolidated and Separate Financial Statements , and Interpretation 12 Consolidation – Special Purpose Entities. The core principle that a consolidated entity presents a parent and its subsidiaries as if they are a single economic entity remains unchanged, as do the mechanics of consolidation. However, the standard introduces a single definition of control that applies to all entities. It focuses on the need to have both power and rights or exposure to variable returns before control is present. Power is the current ability to direct the activities that significantly influence returns. Returns must vary and can be positive, negative or both. There is also new guidance on participating and protective rights and on agent/principal relationships. The consolidated entity does not expect the new standard to have an impact on its composition. The Standard will not have any impact on the Company or consolidated entity's financial statements.

AASB 127 is renamed Separate Financial Statements and is now a standard dealing solely with separate financial statements. Application of this standard by the Company or consolidated entity will not affect any of the amounts recognised in the financial statements.

The Company or consolidated entity does not expect to adopt the new standards before their operative date. They would therefore be first applied in the financial statements for the annual reporting period ending 30 June 2014.

(ii) AASB 13 Fair Value Measurement and AASB 2011-8 Amendments to Australian Accounting Standards arising from AASB 13 (effective 1 January 2013)

AASB 13 was released in September 2011. It explains how to measure fair value and aims to enhance fair value disclosures. The Company or consolidated entity has yet to determine if its current measurement techniques will have to change as a result of the new guidance. It is therefore not possible to state the precise impact, if any, of the new rules on any of the amounts recognised in the financial statements. However, application of the new standard should not have a significant impact on the type of information disclosed in the notes to the financial statements. The Company or consolidated entity does not intend to adopt the new standard before its operative date, which is the annual reporting period ending 30 June 2014.

2. FINANCIAL ASSETS HELD AT FAIR VALUE THROUGH PROFIT OR LOSS

Unlisted unit trust investments 3. EQUITY Movement in Reserves Vested shares - Options (granted on 22 May 2007) Unvested shares - Options (granted on 17 June 2009) Unvested shares - Fund appreciation rights (granted on 1 April 2009) Unvested shares - Fund appreciation rights (granted on 1 April 2010) Unvested shares - Fund appreciation rights (granted on 1 April 2011)	31-Dec-11 30-Jun-11 $'000 $'000 7,798 7,468
	Half-Year to Half-Year to 31-Dec-11 31-Dec-10 $'000 $'000 - 1,519 1,254 1,257 6 84 77 133 79 -
	1,416 2,993

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Half-Year ended 31 December 2011

4. EARNINGS PER SHARE

4. EARNINGS PER SHARE			Half-Year to	Half-Year to
			31-Dec-11	31-Dec-10
Basic earnings per share - cents per share			11.96	13.97
Diluted earnings per share - cents per share			11.96	13.37
Weighted average number of Ordinary Shares on issue used in the calculation of
basic earnings per share			561,347,878	561,347,878
Weighted average number of Ordinary Shares on issue used in the calculation of
diluted earnings per share excluding options that are out of the money			561,347,878	586,678,900
			Half-Year to	Half-Year to
			31-Dec-11	31-Dec-10
			$'000	$'000
Earnings used in the calculation of basic and diluted earnings per share			67,153	78,423
5. DIVIDENDS (fully franked)	Half-Year to		Half-Year	to
	31-Dec-11		31-Dec-10
	cents		cents
	per share	$'000	per share	$'000
Paid - 22 September 2010	-	-	14.00	78,589
Paid - 22 September 2011	15.00	84,202	-	-
	15.00	84,202	14.00	78,589

Since the period end, the Directors have determined to pay a fully franked dividend of 8 cents per share. This dividend has not been provided for at 31 December 2011.

6. SEGMENT INFORMATION

The consolidated entity is organised into one main operating segment with only one key function, being funds management. It generates management and performance fees from Australian investment vehicles and its US-based investment mandates.

7. THE COMPANY

Platinum Asset Management Limited ("the Company") is a company limited by shares, incorporated and domiciled in New South Wales. Its registered office and principal place of business is Level 8, 7 Macquarie Place, Sydney, NSW 2000.

The Company is the ultimate holding company for the entities listed in Note 8.

8. THE SUBSIDIARIES

The consolidated interim financial statements incorporate the assets, liabilities and results of the following subsidiaries:

(a) McRae Pty Limited (incorporated in Australia) - (100% owned by the Company).

(b) Platinum Asset Pty Limited (incorporated in Australia) - (100% owned by the Company).

(c) Platinum Investment Management Limited (incorporated in Australia) - (indirectly 100% owned by the Company).

(d) Platinum Asset Management Pte Ltd (incorporated in Singapore) - (indirectly 100% owned by the Company).

9. EVENTS OCCURRING AFTER REPORTING DATE

No significant events have occurred since the reporting date that would impact on the financial position of the Company and/or the entities it controls at 31 December 2011 and on the results for the half-year ended on that date.

10. TRANSACTIONS WITH RELATED PARTIES

Platinum Investment Management Limited provides investment management services to related party unit trusts - the Platinum Trust Funds and to the ASX-listed investment company, Platinum Capital Limited. Platinum Investment Management Limited is entitled to receive a monthly management fee from Platinum Capital Limited and the Platinum Trust Funds, a monthly administration fee from the Platinum Trust Funds and in some instances a performance fee (that is calculated annually) based upon the relevant Funds and Platinum Capital Limited's investment return over and above a specified benchmark. The total related party fees recognised in the Statement of Comprehensive Income for the period ended 31 December 2011 was $90,413,715 (2010: $105,767,021). Of this, an amount of $13,870,439 was receivable at 31 December 2011 (2010: $18,023,469).

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DIRECTORS' DECLARATION

In the Directors' opinion,

• (a) the financial statements and notes set out on pages 5 to 10 are in accordance with the Corporations Act 2001, including:

• (i) complying with Accounting Standards, the Corporations Regulations 2001 and other mandatory professional reporting requirements; and

• (ii) giving a true and fair view of the consolidated entity's financial position as at 31 December 2011 and of its performance, as represented by the results of its operations and its cash flows, for the financial year ended on that date.

(b) there are reasonable grounds to believe that Platinum Asset Management Limited and its controlled entities will be able to pay its debts as and when they become due and payable.

This declaration is made in accordance with a resolution of the Directors.

Michael Cole

Chairman

Kerr Neilson

Director

Sydney 16 February 2012

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Independent auditor’s review report to the members of Platinum Asset Management Limited

Report on the Half-Year Financial Report

We have reviewed the accompanying half-year financial report of Platinum Asset Management Limited, which comprises the Balance Sheet as at 31 December 2011, the Statement of Comprehensive Income, Statement of Changes in Equity and Statement of Cash Flows for the half-year ended on that date, selected explanatory notes and the Directors’ Declaration for the Platinum Asset Management Limited group (the consolidated entity). The consolidated entity comprises the Company and the entities it controlled during that half-year.

Directors’ responsibility for the half-year financial report

The Directors of the Company are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporations Act 2001 and for such control as the Directors determine is necessary to enable the preparation of the half-year financial report that is free from material misstatement whether due to fraud or error.

Auditor’s responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of an Interim Financial Report Performed by the Independent Auditor of the Entity , in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the consolidated entity’s financial position as at 31 December 2011 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 . As the auditor of Platinum Asset Management Limited, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001.

PricewaterhouseCoopers, ABN 52 780 433 757 Darling Park Tower 2, 201 Sussex Street, GPO BOX 2650, SYDNEY NSW 1171 DX 77 Sydney, Australia

T: +61 2 8266 0000, F: +61 2 8266 9999, www.pwc.com.au

Liability limited by a scheme approved under Professional Standards Legislation.

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Conclusion

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half-year financial report of Platinum Asset Management Limited is not in accordance with the Corporations Act 2001 including:

• (a) giving a true and fair view of the consolidated entity’s financial position as at 31 December 2011 and of its performance for the half-year ended on that date; and

• (b) complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001.

PricewaterhouseCoopers

AJ Loveridge Partner

Sydney 16 February 2012

DIRECTORY

Directors

Michael Cole Bruce Coleman Margaret Towers Kerr Neilson Philip Howard

Company Secretary Philip Howard

Shareholder Liaison

Liz Norman

Registered Office

Level 8, 7 Macquarie Place Sydney NSW 2000 Phone 1300 726 700 (Australia only) Phone 0800 700 726 (New Zealand only) Phone + 61 2 9255 7500 Fax + 61 2 9254 5555

Share Registrar

Computershare Investor Services Pty Ltd Level 3, 60 Carrington Street Sydney NSW 2000 Phone 1300 855 080 (Australia only) Phone + 61 3 9415 4000 Fax + 61 3 9473 2500

Auditor and Taxation Advisor

PricewaterhouseCoopers Darling Park Tower 2 201 Sussex Street Sydney NSW 2000

Securities Exchange Listing

Ordinary Shares listed on the Australian Securities Exchange ASX Code: PTM

Website

http://www.platinum.com.au/paml_shares.htm

Platinum Asset Management® does not guarantee the repayment of capital or the investment performance of the Investment Manager.

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