Jupiter hands £34m back to shareholders

 
Michael Bow
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MONEY manager Jupiter Fund Management yesterday increased its dividend and paid off a chunk of debt after strengthening its cash position last year.

The company said it would use its cash pile to pay £33.9m in dividends, surprising analysts by increasing its total dividend by 13 per cent to 8.8p. A further £65m of bank debt was paid off to cut its gross debts to £78m.

Chief executive Edward Bonham Carter told City A.M.: “The message from these results is that we are in a far more of robust financial position and this is allowing us, if you like, to increase the metabolic rate of investment to the benefit of our owners.”

Overall revenues fell at the business due to a fall in performance fees. A £5m refund from the Financial Services Compensation Scheme helped flatter pre-tax profits, which increased from £70.3m to 73.6m for the year ending December 2012.