Hargreaves Lansdown (LSE: HRL), a publicly-listed financial services company, has announced strong results for the quarter ended 31 March 2024. The firm saw a surge in gross inflows, net new clients, and share dealing volumes, indicating positive momentum leading up to the tax year end.

“We built good momentum into tax year-end and, as a result, have seen year-on-year increases,” commented Dan Olley, the Chief Executive Officer at Hargreaves Lansdown.

Hargreaves Lansdown Reports Strong Performance in Q1 2024

Analyzing the financial data, we see that Hargreaves Lansdown achieved revenue of £199.7 million, the highest over the past year, surpassing results from Q4 2023 at £184.4 million and from Q1 2023 at £188.1 million.

Monthly share dealing volumes also increased, reaching 794,000 compared to 672,000 in the previous quarter and 770,000 reported in the same period the previous year.

The company reported a new net business of £1.6 billion for the quarter, bringing the total Assets under Administration (AuA) to an all-time high of £149.7 billion. This growth was driven by increased net flows to the Hargreaves Lansdown’s platform as clients focused on maximizing their ISA and SIPP allowances.

Hargreaves Lansdown (#HL.) has published their Q1 trading update indicating:

✅️ Net new business of £1.6bn
✅️ Assets under administration of £149.7bn
✅️ 34k net new clients
✅️ Client base +48% year on year
✅️ Revenue +6% to £199.7m

I continue to hold.

— Henry Viola-Heir (@HTVIOLA) April 30, 2024

This confirmed the company's results for the fiscal year 2023, during which profits amounted to £402.7 million, increasing 50%. At the same time, the customer base grew 67,000, and AuA increased 8% to £134 billion.

Record Number of Active Clients

Hargreaves Lansdown additionally welcomed 34,000 net new clients during the quarter, a visible increase of 48% compared to the same period last year. This brings the total number of active clients to 1,858,000. The popularity of newer products such as ready-made pensions, cash ISA offerings, and Active Savings contributed significantly to this client growth.

"On joining the business, one of the highest priorities I set was to recapture our service excellence, so I am delighted that we delivered a great service experience for our clients over tax year end despite receiving record volumes in calls and emails,” added Olley, who replaced Chris Hill in 2023.

Looking ahead, Hargreaves Lansdown is optimistic about the remainder of the financial year, with momentum continuing into April as clients seize the advantages of investing early in the tax year.