Good afternoon, everyone, and welcome to the first half 2023 results briefing for Regal Partners Limited. Today's results will be presented by the Chief Executive Officer, Brendan O'Connor, and Chief Financial Officer, Ian Cameron, and the briefing is being conducted by webinar and phone. As shown on slide three, the agenda for today is that Brendan will start with the results highlights, Ian will cover the key financials, and then hand back to Brendan for a business update and the outlook. We will then have a short question and answer session. We will provide more details at that point, but for those online, please feel free to submit your questions at any time during the briefing so that we can lead with those. Please also note that today's presentation is being recorded, and there will be a replay made available on Regal's website.
We also may have media in attendance today. I would now like to hand over to Brendan.
Thanks very much, Ingrid. Brendan O'Connor, CEO of Regal Partners. Wonderful to be with you in front of you again, talking about Regal's first half 2023 results. Just to remind you, Regal Partners was formed through the merger of VG1 twelve months ago. It's now a AUD 5.8 billion asset manager with over 50 investment professionals, importantly structured across 4 key asset classes of long, short equities, private markets, real and natural assets, and capital solutions. Let's focus quickly on the highlights from the half. The normalized net profit after tax for the 6 months to 30 June 2023 was AUD 13.1 million, up significantly from first half 2022. The board is determined to pay an interim dividend of AUD 0.05 per share.
That's 100% franked, and up on the prior period dividend of AUD 0.04 per share. The statutory cash flows during the 6 months were almost AUD 27 million, notwithstanding the statutory loss of AUD 3.9 million, which really reflects the accounting expense of AUD 4 million related to the deferred contingent consideration of Attunga Capital, an item that otherwise would have been capitalized under accounting standards, except the fact that it fell outside the 12-month window. The key drivers of our normalized profit for the half, as I've mentioned before, was FUM at AUD 5.8 billion. As we've already disclosed to market, the driver of that are our net flows for the 12 months to 30 June of being AUD 1.1 billion, pleasingly ahead of our target of AUD 1 billion.
Revenues up 9% to AUD 47.6 million, and strong cost control, 27.5, down almost 11% on the prior corresponding period. From an outlook perspective, I'm pleased to say that fund performance improved, and together with product innovation, that will drive further net inflows and growth over the 12 months ahead. We've previously announced a non-binding indicative proposal for Pacific Current Group. We're midway through due diligence and engagement with that business, and happy to take questions on that if required. The balance sheet is robust. We've got over AUD 230 million in cash and investments at 30 June, and as previously announced, we've also secured a AUD 50 million unsecured revolving corporate credit facility, as at July, none of which is drawn at the moment.
Turning to slide 7, it was really pleasing to see the business generate AUD 1.1 billion of net flows over the 12 months to 30th of June. Importantly, had net flows in both second half 2022 and first half 2023, and whilst investment performance eroded some of our FUM in the second half 2022, investment performance has been a strong contributor in the first half 2023, and we've exited 30 June with a continuation of that positive investment performance.
Perhaps the most pleasing part about the net performance were that 76% of us are delivering, of all our funds, are delivering, flows over that 12 months, and 57% of our net flows are going into new strategies developed within the prior periods, the prior three years. Further, it's wonderful to receive endorsement from new clients, particularly new institutional investors, over the last 12 months.
Importantly, seven of those new institutional investors have come from offshore, with extensive or following extensive investment, but also operational due diligence on the Regal business. I think looking forward, the investment-raising climate is going to be challenged. Obviously, with higher rates, there's a natural competitor to the products that Regal is, is, has. I'd also say that the nature of the segments that we operate within the family office and a high net worth domestically and ultimately institutional client base offshore, leads to a lumpier profile of net flows. Having said that, we sit here with confidence today with a product set and strong client interest across a range of our products that indicate that we should have strong numbers to highlight over the next twelve months. Group FUM, AUD 5.8 billion as at 30th of June here.
The table on page nine provides a good profile of the net flows being largely equal or largely based across each of those product sets, small outflows within private markets, and given the sort of turmoil within some of the private markets over the last more generally, over the last two years, I think that's been a strong outcome, and we're increasingly looking forward to the IPO market reopening and a better vintage of investment deals coming forward. At that juncture, I might turn to Ian Cameron, our Group CFO, who will take us through the financials.
Thanks, Brendan. So on page 11, we've got the normalized P&L. We normalize it for one-off costs as well as non-cash accounting adjustments such as amortization. We've got spot FUM at 30 June of AUD 5.8 billion, which remains unchanged at the end of July. Average FUM was AUD 5.4 billion, which just reflects the movement from our FUM of AUD 5.2 billion at 1 January and AUD 5.8 billion at 30 June. Average management fee percentage is 1.1%. That is on our total FUM, inclusive of any staff and non-fee FUM managed on behalf of charities. As announced previously, effective 1 January 2024, we'll be turning on fees at the 50% rate on staff FUM.
As at the end of July, that would equate to additional management fees of AUD 5 million per annum, with the optionality of any performance fees on that FUM as well. Management fees is AUD 29.5 million and performance fees of AUD 8 million. Performance fees largely relate to our Resources, Long Short Fund, the R esources, Royalties, and some of our strategies. While not on this slide, I'd like to refer to the year-end of December 2021, where we earned performance fees of AUD 163 million, which demonstrates the earnings leverage and power of the business when our funds are at high water mark and earning performance fees.
Other income of AUD 10.2 million relates to the return on our seed investments, which performed very, very strongly in the first six months of the year, with an annualized return of 9.6%. Strong contributions from our listed funds, VG1 and RG8, our tax opportunity fund, private credit, but it was a diverse mix. So total net income of AUD 47.6 million. The employee benefits expense of AUD 14.3 million largely relates to fixed staff costs as well as add-on costs such as superannuation and payroll tax, as well as any discretionary bonus expenses. Deferred compensation grant amortization of AUD 5 million, that's a non-cash item. That relates to prior year bonuses, which we defer and invest over two years for alignment purposes.
Other expenses of AUD 7.7 million, down materially, 26.2% from the PCP. We're very focused and, disciplined around managing our costs. So total expenses of AUD 27.5 million. Profit before tax of AUD 20.1 million, and normalized NPAT of AUD 13.1 million. So earnings per share of AUD 0.052. Going to page 12, we've got, a graph that shows the distance to high water mark of our funds. We've listened to feedback, and we're pleased to provide additional color on this information.
The key point to draw out from this slide is, between December 2022 and June 2023, the percentage of FUM at or above high water mark or within 5% of high water mark, has grown and increased from 19%-29% on a larger fund base, which is a great result. Turning to page 13, we've got a robust and liquid balance sheet, nearly circa AUD 230 million in cash and saved investments. Cash of AUD 37.2 million at the end of 30 June, down slightly from 31 December, but that's after the payment of the final 2022 dividend of AUD 0.04 per share, or circa AUD 10.2 million. Trade and other receivables, AUD 27 million, largely relate to management fees, performance fees, and distributions receivable that we received in the month of July.
Investments in financial assets of AUD 196 million. That's our saved investments in both our listed and unlisted in funds. Intangible assets of AUD 219 million. That largely relates to the goodwill that was recognized in June last year, when VG1 and Regal merged, as well as any management rights and contract assets. Total assets of AUD 496 million, and net assets of AUD 400.9 million. We've got earnings of AUD 27.2 million, which equates to four times the dividend directors have approved yesterday of AUD 0.05 per share, fully franked, payable on the fourteenth of September. We've also got a debt facility of AUD 50 million, which remains undrawn. I'll turn back to Brendan.
Thanks very much, Ian. I'd like to spend a little moment now giving a bit of a business update, just to tie that together, finish with an outlook and then pause for questions. Pleasingly, as I said, the AUD 1.1 billion of net flows earned or achieved over the last 12 months further diversified the business. Diversified by FUM, by asset class, with an increasing proportion of capital being managed in capital solutions and real and natural assets. The FUM by liquidity has a bias towards term and closed-end capital. Not only does that provide, in our experience, the basis for a portfolio or superior portfolio construction, but also provides a resilient earnings profile for RPL shareholders. It also is continuing to diversify by client channel, increasingly, to increased exposure to offshore institutional investors.
On slide 16, the nature of the strategies that we run, given the fee mix with a combination of management fees and performance fees, together with strong alignment with a lot of both staff, founder, and balance sheet capital invested alongside our products, are really a strong focus on performance. Our long-term performance track record remains highly attractive. The chart on slide 16 shows a selection of our strategies right across the business, with the returns that have at least a three-year track record, and they're performing very strongly through what has been generally a challenging environment, particularly given the movement in rates over the last 18 months to two years. Taking that comment further, I note with interest that further product innovation and performance is the key to driving our fund growth and our net flows ahead.
Of the strategies that we've graphed here, all set up within the last eight years, these strategies represent over 40% of group fund today and provide over AUD 8 billion of fund capacity. The ability within the management team here at Regal to be able to have great client relationships and then pivot to then develop products that are meeting that client demand, really has been a hallmark of our success in driving net flows, and will continue to be the hallmark of our ability to drive net flows over the years ahead. Just turning now to each of the 4 business segments and starting with long-short equities. The term mainstreaming alternatives, I think, is a good one to sort of highlight the trend that's occurring here.
The Regal Australian Long Short Equity Fund, a long-short active extension product, providing outperformance over the ASX 300 Index, started live back in August 2009. It's a great example of Regal's fundamental long-short equity strategies, increasingly being used by investors seeking to have broader equities exposure. So rather than actually investing with a long-only manager, increasingly seeking out the skill set available with a long-short manager like Regal, to gain their equity exposure. The line there from the Eurekah edge Fund Index clearly shows that in the bear market, going back to sort of September 2021, as rates started to increase, has really been a challenging time for the market. Notwithstanding that, the broader set of Regal long-short equity funds have continued to power ahead.
Further, we're capitalizing on our capabilities, in particular with good idiosyncratic investing around the resources long-short strategy and the Asian healthcare strategy, and responding to investor demand, particularly offshore, for increase in low net long-short strategies. Finally, I highlight that the Regal Australian Small Companies Fund, which started live back in 2015, continues to generate strong returns and is in the top three versus the Mercer Peer group across one, three, five, and seven years. Our private markets strategies, now wrapped up within the ongoing fund, being the Regal Emerging Companies Opportunities Fund, has had a pause in performance while the IPO markets closed, and we look forward to that IPO market opening again.
I'd say that these times, within the last two years of the IPO market being closed, typically correlate to better vintages of investment going forward, as the terms on which we invest in have typically improved in the investor's favor. Pleasing to see that our suite of products there from the Emerging Companies Fund number 1, which is now closed and capital returned to investors, and then fund 2, 3, and the Emerging Companies Opportunity Fund, continuing to see good opportunities ahead, should the IPO market open again. Or when it opens again. The Real and Natural Assets segment really captures our 61% interest in Kilter Rural. Kilter Rural being the innovators within the Australian water market and farmland market. The Kilter Water Fund, their flagship fund, has generated 13.6% return since inception.
From the tailwinds sitting behind that, from both a permanent cropping perspective, creating high demand, but also climatic changes together with the supply reductions as announced by the government more recently, are all going to provide tailwinds, in our view, behind the water price going forward. Importantly, during the half, Kilter launched the Kilter Agriculture Fund in June 2023, as a first entree to a broader AUD 500 million potential agricultural, water, and carbon sequestration fund, that will target returns of between 10%-12% over the medium to long term. Attunga Capital pleasingly brought on board two new institutional investors within its award-winning Power and Enviro strategies.
In addition to that, the development of the Carbon Enviro Fund has now been running for 19 months, and notwithstanding the more recent stock performance in carbon prices, continues to attract good institutional interest, noting the big discrepancy between Australian, New Zealand carbon prices, and where carbon prices are needed by 2030, to limit further global warming. I'd also add that in the early part of second half of 2023, this month, Regal increased stake in Attunga from 51% to 61%. And then finally, Capital Solutions, a segment that didn't exist 12 months ago, has got off to a flying start. The Regal Private Credit Opportunities Fund, that fund launched in October 2022, has quickly scaled to circa AUD 300 million, with generating a gross earning, running yield of about 11% per annum.
I think the investment climate has moved in our favor. It's a private credit fund that really takes advantage of the deal flow that Regal gets access to, given our broad relationships. It has no direct property exposure, and as previously announced, we've been delighted to be joined by Chris Champion, previously Managing Director and Head of Financing Group at Goldman Sachs, to be a member of our investment committee. Further, the Regal Resources Royalties Fund has been a great partnership. So as we've brought those team on board, they've gelled well with the capability we already have within the resources sector. That fund continues to go from strength to strength, and we're actively seeking other resource royalties within both Australia and offshore to add to that portfolio.
Importantly, we continue to see strong demand for the exposure to resource royalties, which, as investment strategies, are not held back by the high inflation environment that sits here in Australia, and labor shortages. Finally, from a business update, we're very proud that we have AUD 1.7 billion in listed investment vehicles listed on the ASX, that provide investors, retail investors, with exposure to a number of our better performing strategies. RF1 now has nine of our best performing strategies within one vehicle, after we added private credit in March 2003. That fund has generated since inception, returns of just under 20% since listing in June 2019.
RG8, now managed by the Regal team, which was the former VGL Asian strategy, renamed and, with a new leader, RG8, continues to generate improved returns, but with further work to do there to crawl back to our high water mark. And finally, VG1 has generated strong returns. The team, whilst Rob Luciano is on his sabbatical, led by Phil King, but taken forward by Marco Selmi and Simon Birrell, are doing a great job in generating strong, risk-adjusted returns within that vehicle. I'll finish by talking about our strategy and outlook. You won't be surprised to hear that the same messages that we put out six months ago haven't changed, and that is the growth, growth-focused strategy that we have remains unchanged.
Built upon, I think, three key pillars: a diversified and scalable growing platform, attractive market tailwinds, as investors are increasingly going to be seeking alternative ways to generate returns, and hence the growing demand for alternative investment strategies of the like that Regal provides and manages, and the strong business economics.
To have those alternative investment strategies, we need unique investment strategies, we need the best staff to be able to do that, and those combination commands higher fees relative to long-only managers of equities or fixed income. So we believe we've got multiple opportunities for growth, most importantly, organically in front of us, and if we're to do anything inorganically, we'll be very disciplined to make sure it's highly accretive to the RPL shareholder, and provides synergies beyond what we have in the business today. I might pause there and see if there are any questions.
Thanks, Brendan. So just in terms of instructions, for questions today, if you're online, please submit your questions through the Ask a Question box. And if you're on the phone, please press star one to register for a question and star two to cancel your question in the queue, and we'll get to you at the appropriate time. So I'll just start firstly with some online questions. So I have a question here saying: You are starting to work with institutional clients a bit more. Can you talk about some of the sources and strategies that they're particularly interested in or that you're targeting for them? And, perhaps related to that, you've launched recently the Cayman Resources Long Short Fund. Where is that being sold?
Yeah. Yeah, great. So as I've highlighted, of the AUD 1.1 billion in net flows, one of the most pleasing parts about that, is that it included nine new institutional investors sprinkled across a range of those asset classes. But given the question talked about the resources long-short strategy, I guess that's a great case study of the offshore institutional demand that we're increasingly seeing. Institutional investors are increasingly, interested in our low net exposure strategies that can clearly demonstrate through the cycle, good alpha, by generating, I guess, idiosyncratic returns or alpha as opposed to just beta. That's certainly the case with our long-short resources strategy, and is very much the case with our Asian healthcare strategy.
So it's very much offshore institutional investors that are typically seeking that low net exposure, targeting Regal's fundamental research knowledge and the ability to be able to generate alpha regardless of market movements. Pleasingly, they come with... Those clients come with a heavy amount of independent investment due diligence and operational due diligence. I've said it before, but it- it's pleasing to see, not only about our investment strategies, but obviously the compliance, the systems, the operational aspects across both our systems and our back office, being given flying colors and ticks of, by those operational due diligence exercises.
Thanks, Brendan. The next question is: off the back of your interest, increased interest in Attunga, is there a preference going forward for any specific type of growth for Regal, whether that's through further M&A, seeding new funds, or controlling minority stakes in unlisted funds?
Yeah, good question. I think the organic growth that we've got in front of us is highly accretive to the RPL shareholder, and I think it's absolutely the center or the main focus for the business here. We recognize that there are other strategies that would take time to replicate or other markets that we could equally play within. However, our main focus is generating the earnings growth by growing each of these strategies to capacity. But we will, from time to time, have a look at inorganic opportunities, should they be accretive to the RPL shareholder.
Next question is, while it is early days, can you talk about what's attractive within PAC and some of the boutiques?
Yeah, I think the PAC story is pretty simple. I've followed the PAC journey for a while now, when it was back as TRG, Treasury Group, and now PAC, following the merger with Northern Lights. I think Paul Greenwood and the team have assembled a wonderful collection of alternative asset managers in a number of geographies, but principally in North America. There's a broader set of alternative investment strategies there that exist within the Australian marketplace. The exciting prospect from our perspective, I guess, is threefold. One is there's the obvious ability to be able to run the business with a leading cost base on the basis that you only need one listed business and board and management team around that.
But the more important point strategically is the exciting prospect of being able to import some of that investment capability that the PAC boutiques have within North America and Europe into the Australian marketplace by leveraging the capability we have here in Australia through our distribution marketing team. And then further, add to that by the prospect of being able to export some of our institutional-grade products, such as resources, healthcare, water, agriculture, into the North American market, leveraging the distribution and management capability that PAC has.
Great. In terms of private credit, that's a strategy that was launched relatively recently. Where do you see the main opportunities? What sort of assets are we investing in? And, how big could it get potentially?
Yeah, I think private credit's been a very exciting, product development from Regal's perspective. We've had great success in raising money for it, which has coincided with a movement in the opportunity within the marketplace for, further private credit being put to work. So we're very much in a period where we're taking advantage of the broad relationships that Regal has to deploy that capital. We're deploying that capital on better economic terms than we thought we would when we started the business. And pleasingly, the product development or the growth of the product has accelerated beyond our first, business plan. So it sits at $300 million today. We've got a pipeline of around about $150 billion that are very executable over the next six months.
It's likely that that sum could be as much as AUD 500 million by 31 December this year, well on its way to being AUD 1 billion, beyond that. So just to remind everyone, that product started on the first of October last year. It has no direct profit exposure and is, I think, investing at a wonderful vintage for private credit.
Great. Next question is, you did talk about this before, but can you expand a bit further on how you see the fundraising environment at the moment?
Yeah. The nature of the segments that Regal sells within, in that it's wholesale, family office, and domestically, and then offshore being institutional, means that the flow of net flows across our products will inevitably be lumpy compared to other listed retail managers, where through the likes of model portfolios and approved product lists, they've probably got a better line of sight to a steady stream of inflows coming through month to month. The other dynamic I'd highlight is obviously, as the risk-free rate has moved up dramatically, and you've seen some of this in the popularity of NAB's hybrid, for example, the other day. The risk-free rate has taken a number of, I guess, marginal investors' money, as opposed to investing on a more illiquid basis or in other asset classes.
Notwithstanding that, the range of products that Regal has continued to be of interest, and we've got growing interest across a range of our strategies, including and not only our Regal Resources strategy, but products such as Resource Royalties and Multi-Strat opportunities.
Turning back to PAC, I think your last update mentioned that any offer will be subject to due diligence. Can you comment on whether you are starting due diligence or that's still being negotiated?
No, I'm happy to say that we're doing due diligence as we speak. We've engaged with the management team twice now. Early feedback on what was found through due diligence has really confirmed our original thesis around the value that we thought within the business. We're looking forward to engaging with management and ultimately the independent board that they've established further and basically advance our thesis and our offer.
Great. The next question is just in terms of the dividend, AUD 0.05, it's up AUD 0.01 from the last dividend. What was the rationale in terms of setting that level?
Yeah. I think we started the business 12 months ago when we merged with VG1 to have a dividend policy of at least 50% of normalized net profit after tax. If you have a look at both our balance sheets, so from a capital perspective, but also the high cash generated during the six-month period, the board saw fit to pay out a dividend, which was approximately or nearly 100% of our normalized net profit after tax. When you look back over the last 12 months, it's a payout ratio of about 73%. So just to sort of finish, high cash generating business, high capital sitting on balance sheet, surplus franking credits. It was all pointing to the fact that an AUD 0.05 dividend was more than was more than capable of being paid out.
Okay. Just, I wanted to flag to the audience that, if you do have a question on the phone, just remember, please press star one to register for a question and star two to cancel your question in the queue. I will go back to online questions for the moment, since there's nothing on the phone from what I can see. Can Regal comment on claims that it's taken a small stake in Magellan within the last 48 hours or so?
I'm not going to provide any comment there in terms of the investment decisions that the broader Regal team may make as part of investment decisions. No, I can't provide any further insight there.
Thank you. Next question is, can you please outline what has been put in place to close the gap between NTA and share price of VG1 and RG8?
Yeah, certainly. This is a question that we get asked from time to time and happy to engage with with investors on that. When we merged with VG1, we were very clear that, in our experience, Regal's experience, built principally upon, the RFR and Regal Investment Fund. Closing that gap between share price and the net asset value was really built upon three key pillars.
Most importantly, continued performance within the vehicle itself. And as I highlighted earlier, we've been pleased with the performance that the team has generated over the last 12 months there. But performance alone, unfortunately, is not enough. It needs to be supplemented with a proactive communication program back out to investors to highlight how the portfolio is performing, how the investment management team are actually seeing the environment, and what-- how they're responding to that.
But thirdly, it needs a proactive capital management program, which really is code for a very transparent and clearly announced dividend policy, which we've now put in place at VG1 and RG8. Noting that VG1 increased its dividend from 4.4 to 4.5 to now AUD 0.05 per half to match RG8. And the second thing is a proactive capital management program around buyback. So the buyback obviously is very accretive for ongoing investors, while shares can be bought back below NAV, but also provides liquidity for exiting investors. We would love to have sort of made further progress of that over the last 12 months, but pleased to see that we are making progress. And those are the three pillars that I've just highlighted about our strategy to close that gap; they continue to be prosecuted.
Great. The next question is, with East Point. I think that was discussed briefly at the last results. You've now said the deal pleases. Can you provide a bit more color on how you're engaging with the team?
Yeah, certainly. You're right. So just in the last fortnight, we have received regulatory approval to complete the acquisition of the East Point Asset Management bus- it's a small business with just under $100 million, based out of Hong Kong. Our, our team there, led by Simon Walsh, I think, have great insights into, a China-centric Asian long-short strategy. We're at the early stages of seeing how we can collaborate across fundamental investment ideas across both East Point, RGA, and the broader Asian exposures within the Regal team. But it's early doors, but it's going well.
Thanks, Brendan. The next question, which may be for both of you, is: You had some good cost control in the results. Could you expand a bit further on what was managed and, the out from here, if possible?
I can take that. So probably two points. We're very focused on and just around cost control. There's some additional synergies that we're seeing coming out from the merger between VG1 and Regal. And then we're also have been investing in our capital solutions business, which will... You'll see come up through the PNL in future periods.
Thank you. Just thinking about cost and investing, are you expanding at the moment, the distribution team, or where's that heading?
Yeah, we've got a slide, and, Jack, on sort of, slide 8, that sort of shows looking forward. I think the investments we've made in the distribution and marketing team in the prior 12 months have really started to help deliver some of those flows. We continue to invest in that team. More recently, we've invested in a specialist, family office distribution professional within the team. And even more recently than that, we've added a, professional that has deep experience within the alternatives market, particularly around, among independent financial advisors within Australia. So, we want to continue to build out that distribution and marketing team to bring what we think are great products and institutional-grade products to an expanding client base.
Thanks, Brendan. Checking s o I can't see any questions in the phone queue, and we may have one more online question. So I think you mentioned briefly before about Rob Luciano, but there is a question on Rob, just saying: Is there an update on his return to VG1 And would there be any plan to raise more funds to take care of the management rights of VG1, similar to RG8 last year?
No specific update since we last announced to the market that Rob was taking sabbatical, 3-month sabbatical. I think that was around mid-June. I haven't spoken to Rob while he's been on sabbatical, but I plan to do so in mid-September, when he's due to return, and sort of go forward from there. So no specific update, other than just to highlight again, that I think Marco Selmi and Simon Birrell are doing a wonderful job under the stewardship of Phil King, looking after VG1. They're generating good numbers, and I think that will hopefully demonstrate the market over time.
Okay, I think we've just got one last question here on performance fees. Thank you very much for providing the high-water mark slide. You did mention earlier some of the funds that generated performance fees in the last period. Which other funds are close to high-water mark, or where do you see the biggest opportunities?
Yeah, well, I'm not sort of going to break down each of the strategies more specifically than what we've put there. But I'd say that we've said in the past that some of the heaviest contributions or the biggest contributors to performance fees more generally have been our listed vehicles. RF1 is closest to its high water mark in that regard. And I think it's got sort of good performance coming through there. RG8 sits behind that and VG1 behind it again. So we've got good breadth coming through in our performance fees, but we're not prepared to give sort of further guidance as to specifically which ones will provide performance fees in the period ahead.
Thank you. So I think we're getting close to time, and so would you like to make any concluding remarks, Brendan?
No, other than to reiterate what we've said before. I think, you know, we're very focused on sort of extracting the value from the businesses we have today, the organic growth profile. We've got good momentum in the business from a distribution and marketing perspective, great client relationships that and we're developing that further. And we're innovating by bringing new products to the market. So very much head down, bum up, as we look to prosecute that, that business case.
Sorry, I just maybe have a late message. Sorry, operator, is there anybody in the phone queue at the moment?