Brokers owned by Australia’s largest broking network Steadfast clocked 5 percent organic growth in net revenues in the 12 months leading up to the end of June.
That contributed to revenues that increased 9.5 percent to A$380mn ($277.2mn) in the group’s equity broking division, which houses intermediaries owned by the Aussie powerhouse.
Along with the group’s network of 25 partner underwriting agencies, that took total group revenues to $582.5mn, an uptick of 15.5 percent on the previous year.
Total gross written premiums placed by the broker hit A$5.3bn during the year, up A$300mn on the prior-year period. Steadfast said that was driven by 3 percent organic revenue growth across the group.
The uplift was driven by price and volume increases and growth in Steadfast’s authorised representative network, the broker said.
As a result, on the group’s preferred Ebita profit metric - which measures earnings before items such as interest and tax are taken into account - Steadfast booked a A$165.6mn gain for the year. That marked a 15.5 percent uplift on the prior-year period.
The result was in line with the broker’s guidance at the end of December, which is the group’s half year.
It attributed the gain to “strong organic growth from equity brokers and Steadfast underwriting agencies”.
Looking ahead to 2019, the group forecast full year Ebita of between A$185mn and A$195mn. But it said that estimate is subject to insurers continuing to drive “moderate” premium price increases.