Cape Town - PSG Group had been streamlined and was ready to shift its focus back to growth, chairman Jannie Mouton said of the results for the year to February.
Measures to unlock wealth consisted of the sale of PSG Investment Bank in November 2002, a special distribution of R2 a share in March last year, the unbundling of Capitec Bank in December and a further special distribution of R1 a share in February, payable on May 3.
The programme to unlock wealth has resulted in a smaller capital base, and shareholders funds are down to R332 million from R993 million. Net asset value is down to R3.16 a share from R8.28 last year.
The share was unchanged at R3.95 yesterday, holding its own against a 1.7 percent decline in the special finance sector.
Headline earnings a share increased 2.7 percent to 72.6c, but the results were not comparable because of the sale of PSG Investment Bank, the Capitec unbundling and the special dividend.
Mouton said what was left of the company was "exciting".
PSG Capital was growing well, focusing on its niche private equity and corporate finance markets. PSG Investment Services had been restructured into three separate companies and its online stockbroking service was profitable, while the private client business was also growing well.
The establishment of Arch Equity, with Desmond Lockey as controlling shareholder, meant an initial 10 percent of PSG Group went towards black empowerment. PSG Capital's contribution to headline earnings was up at R21 million from R10 million last year.
PSG Capital does corporate finance, asset management, treasury outsourcing and trade finance. It has acquired a stake in Algoa Insurance Company.
Channel Life's contribution to earnings was static at R17.7 million. Premium income increased 94 percent to R823 million, while assets under management strengthened to R1.29 billion from R739 million.
PSG Investment Services' contribution to headline earnings increased to R11.3 million from R6.6 million. Its operations were streamlined with the integration of PSG Konsult with Wealth Management.
Capitec Bank's contribution to headline earnings increased to R18.1 million from R16.2 million last year, with the bank's results consolidated up to November 30 last year in view of the unbundling.
The contribution from PSG Corporate increased to R13 million from R3.3 million as a result of interest received on cash.