WAM Research Limited (ASX: WAX), a listed investment company providing investors with exposure to a diversified portfolio of undervalued growth companies, primarily small-to-medium sized industrials listed on the ASX, has announced its preliminary final report for the year ended 30 June 2025. The company reported an operating profit after tax of $28.49 million, a decrease of 12.3% compared to the previous year’s $32.47 million. Despite the dip in profit, WAM Research’s investment portfolio demonstrated strong performance, increasing by 22.4% and outperforming the S&P/ASX All Ordinaries Accumulation Index by 9.2%.
The company has declared a final dividend of 5.0 cents per share, partially franked at 60%. This dividend is consistent with the interim dividend, bringing the full-year dividend to 10.0 cents per share. The ex-dividend date is set for 15 October 2025, with a payment date of 28 October 2025. The Dividend Reinvestment Plan (DRP) remains in operation, offering participating shareholders a 2.5% discount on shares acquired through the plan.
WAM Research’s net tangible asset (NTA) backing before tax per share has increased to $1.09, up from $1.04 in the prior year. The company’s chairman, Geoff Wilson, noted the strong investment portfolio performance enabled the company to maintain its full year dividend. Looking ahead, the WAM Research investment team anticipates a favourable environment for undervalued growth companies and will continue to apply its research-driven investment process.
WAM Research’s investment portfolio has returned 15.2% per annum since the change in investment strategy in July 2010, outperforming the market by 6.0% per annum. The company also highlighted its commitment to paying a stream of franked dividends, provided sufficient profits reserves and franking credits are available.
