Pinnacle Investment (ASX:PNI) Soars with 151% Profit Surge in 1HFY25, Secures AUD 50M Boost

Highlights

• Pinnacle’s 1HFY25 NPAT rose 151% YoY to AUD 75.7 million, driven by performance fee growth.
• Inflation eased to 2.4% in March 2025 quarter, boosting hopes for a May rate cut by the Reserve Bank of Australia.
• The AUD 50 million global investment fuels Pinnacle’s expansion and diversification pipeline.

Pinnacle Investment Management Group Limited (ASX:PNI) is an Australia-based multi-affiliate investment management firm. In the first half of the financial year 2025 (1HFY25), Pinnacle’s revenue rose by 17% YoY to AUD 27.6 million. Meanwhile, the share of net profit after tax (NPAT) attributed to shareholders surged to AUD 75.7 million—a 151% jump from AUD 30.2 million in 1HFY24. This sharp rise was driven by sustained alpha generation across affiliates and increased performance fee contributions totalling AUD 36.4 million.

Growth Prospects for Australian Financial Services Sector

According to the Australian Bureau of Statistics, the Consumer Price Index (CPI) rose 0.9% in the March 2025 quarter, bringing the annual rate down to 2.4%. More notably, the Reserve Bank of Australia's (RBA) preferred trimmed mean inflation measure declined to 2.9%—its lowest level since December 2021 and within the RBA’s 2–3% target range. This has strengthened market expectations of a possible rate cut in May, supporting investor sentiment in financial services.

Recent business update

In March 2025, Pinnacle secured a strategic AUD 50 million investment from Korea’s National Pension Service, one of the world’s largest pension funds and the Townsend Group. The capital injection supports the growth of Pinnacle’s affiliate Metrics Credit Holdings and underscores confidence in its long-term strategies, including further diversification, global expansion, and performance fee-linked products.

Share performance of PNI

PNI shares closed 0.94% higher at AUD 18.250 per share on 1 May 2025. Over the past year, PNI’s share price has increased by almost 61.79%, while in the last three months, it has dropped by around 28.12%.

52-week high of PNI is AUD 27.11, recorded on 5 February 2025 and 52-week low is AUD 11.00, recorded on 1 May 2024.

Support and Resistance Summary

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: The reference date for all price data, and currency, is 01 May 2025. The reference data in this report has been partly sourced from REFINITIV.

Technical Indicators Defined:

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.

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