LONDON (Reuters) - Petershill Partners, the London-listed investment firm operated by Goldman Sachs (NYSE:GS), reported a 10% rise in half-year partner distributable earnings on Wednesday as it approved a dividend amid strong cash flow.
Petershill Partners, which started trading on the London bourse last September, said partner distributable earnings - effective adjusted revenue - climbed to $169 million.
It approved a 3.5 cents per share half year dividend, payable on Oct. 28.
The group posted adjusted EBIT (earnings before interest and tax) of $153 million and adjusted profit after tax of $135 million for the six months to June 30.
Chairman Naguib Kheraj said statutory earnings were affected by the mark down in the carrying value of investments because of the impact of higher discount rates but that healthy cash generation and a strong balance sheet would allow the group to support further acquisitions and shareholder distributions.
"While the macroeconomic and equity market backdrop is challenging and volatile, our Partner-firms continue to be successful in fund raising and this is expected to support double digit growth in management fee revenues, although performance fees and investment gains are expected to be lower than the prior year," he said.
The group has built a network of minority stakes in independent asset managers that are seeking capital to scale up or diversify their businesses to harness fresh growth.
The business offers strategic advice as well as capital, with the bulk of income generated by management fees, alongside a performance fee and balance sheet income.