Key financial data

Results for the year ending 30 June 2021

We have delivered a record performance and exceptional growth during an extraordinary and challenging year.

Our investment in the scalability, diversity and resilience of HL’s business model has resulted in a record 233,000 net new clients and £8.7 billion of net new business in the period, taking total clients to 1.645 million and assets to £135.5 bn.

This has been an extraordinary year and I am proud of how our colleagues responded and continued to deliver to clients throughout this challenging period.

Our focus is, as always, on our clients and their lifelong needs, not just their short-term interests. We have been able to capitalise on this extraordinary year – and enlarge our client base substantially - due to our previous investment decisions and confidence in the opportunity ahead. As the UK’s market-leading digital wealth management service we have continuously advanced our service and broadened and strengthened our proposition, as client needs evolve, and the wealth market continues to broaden and digitise.

CHRIS HILL, CEO

Hargreaves Lansdown in numbers

We are a well established and trusted brand providing a high quality service across a range of products and services.

1,182,000+

ISA accounts

523,000+

Fund and Share accounts

494,000+

SIPP accounts

£56 billion+

ISA AUA

£34 billion+

Fund and Share AUA

£44 billion+

SIPP AUA

96,000+

Lifetime ISA clients

154,000+

Junior ISA accounts

151,000+

Corporate scheme members

£2.7 billion+

Portfolio Management Service AUA

£9.1 billion+

HL Fund Manager AUM

£3.8 billion+

Active Savings AUA

496

Corporate schemes

43.3%

Platforum UK D2C market share

The following graphs provide a five year trend of our key financial data:

Assets under administration (£bn)

No. of active clients ('000)

Net new business (£bn)

Net new clients ('000)

Net revenue (£m)

Profit before tax (£m)

Diluted earnings per share (pence)

Dividend per share (pence)

	Year ended 30 June 2017	Year ended 30 June 2018	Year ended 30 June 2019	Year ended 30 June 2020	Year ended 30 June 2021
	£m	£m	£m	£m	£m
Revenue	385.7	447.6	480.5	550.9	631.0
Commission payable/loyalty bonus	(0.1)	(0.1)	-	-	-
Net revenue*	385.6	447.5	480.5	550.9	631.0
Fair value gains on derivatives	2.2	2.3	2.2	1.7	0.6
Operating costs	(126.7)	(158.7)	(179.4)	(214.9)	(266.0)
Operating profit	261.1	291.1	303.3	337.7	365.6
Finance income	1.2	1.5	2.8	2.8	1.4
Finance costs	-	(0.2)	(0.3)	(1.0)	(1.0)
Other (losses) and gains	(3.5)	-	-	38.8	-
Profit before tax	265.8	292.4	305.8	378.3	366.0
Tax	(53.8)	(55.7)	(58.2)	(65.1)	(69.7)
Profit for the financial year	212.0	236.7	247.6	313.2	296.3
Attributable to:
Non-controlling interests	(0.3)	(0.4)	(0.2)	(0.1)	(0.4)
Profit for the financial year attributable to owners of the parent company	211.7	236.3	247.4	313.1	296.7

* Net revenue is total revenue less the commission payable.

The above figures may be subject to roundings.

	At 30 June 2017	At 30 June 2018	At 30 June 2019	At 30 June 2020	At 30 June 2021
	£m	£m	£m	£m	£m
Non-current assets
Goodwill	1.3	1.3	1.3	1.3	1.3
Other intangible assets	11.9	18.1	23.0	28.0	33.6
Property, plant and equipment	11.7	13.8	16.0	33.2	28.6
Deferred tax assets	2.0	4.1	3.8	3.1	3.7
	26.9	37.3	44.1	65.6	67.2
Current assets
Trade and other receivables	628.8	627.2	748.6	973.2	869.2
Cash and cash equivalents	81.4	125.3	179.3	235.9	445.3
Investments	4.1	1.5	1.1	0.6	0.9
Derivative financial instruments	0.3	0.2	0.1	0.1	-
Current tax assets	-	-	-	0.7	1.5
	714.6	754.2	929.1	1,210.5	1,316.9
Total assets	741.5	791.5	973.2	1,276.1	1,384.1
Current liabilities
Trade and other payables	411.5	364.7	485.7	696.7	774.0
Derivative financial instruments	0.2	0.1	-	0.1	-
Current tax liabilities	21.5	20.8	27.5	-	-
	433.2	385.6	513.2	696.8	774.0
Net current assets	281.4	368.6	415.9	513.7	542.9
Non-current liabilities
Provisions	0.6	0.7	0.7	0.8	2.7
Non-current financial liabilities	-	-	-	1.0	-
Non-current lease liabilities	-	-	-	19.9	15.0
Total liabilities	433.8	386.3	513.9	718.5	791.7
Net assets	307.7	405.2	459.3	557.6	592.4
Equity
Share capital	1.9	1.9	1.9	1.9	1.9
Shares held by Employee Benefit Trust	(7.0)	(3.5)	(3.4)	(6.3)	(4.8)
EBT reserve	7.9	6.2	1.5	(1.9)	(3.1)
Retained earnings	304.2	399.4	457.9	564.6	599.5
Total equity attributable to the owners of the parent	306.9	404.0	457.9	558.3	593.5
Non-controlling interest	0.8	1.2	1.4	(0.7)	(1.1)
Total equity	307.7	405.2	459.3	557.6	592.4

The above figures may be subject to roundings.

	Year ended 30 June 2017	Year ended 30 June 2018	Year ended 30 June 2019	Year ended 30 June 2020	Year ended 30 June 2021
	£m	£m	£m	£m	£m
Net cash generated from operating activities, after tax	227.0	244.8	261.5	265.4	328.6
Increase in term deposits	(180.0)	(42.0)	(7.0)	(15.0)	170.0
Proceeds on disposal of investments	2.7	2.6	0.4	0.5	(0.3)
Proceeds on disposal of subsidiary	-	-	-	38.2	0.2
Purchases of property, plant and equipment	(4.7)	(6.5)	(7.6)	(5.8)	(5.4)
Purchase of intangible assets	(8.4)	(9.6)	(9.5)	(10.1)	(12.8)
Purchase of investments	(3.4)	-	-	-	-
Net cash from/(used in) investing activities	(193.8)	(55.5)	(9.7)	7.8	151.7
Purchases of own shares in EBT	(2.9)	(8.6)	(15.0)	(14.8)	(7.7)
Proceeds on sale of own shares in EBT	4.2	7.7	7.7	5.8	4.3
Payment of principal in relation to lease liabilities	-	-	-	(4.3)	(4.0)
Dividends paid to owners of the parent	(164.5)	(144.5)	(190.5)	(203.3)	(263.5)
Net cash (used in) financing activities	(163.2)	(145.4)	(197.8)	(216.6)	(270.9)
Net increase/(decrease) in cash and cash equivalents	(130.0)	43.9	54.0	56.6	209.4
Cash and cash equivalents at beginning of year	211.4	81.4	125.3	179.3	235.9
Cash and cash equivalents at end of year	81.4	125.3	179.3	235.9	445.3

The above figures may be subject to roundings.