ASX:KPG

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Kelly Partners Group Holdings

Executive Summary

Kelly Partners Group Holdings Limited provides chartered accounting and other professional services to private businesses and clients, owners, and families in Australia.


Snowflake Analysis

High growth potential and good value.

Share Price & News

How has Kelly Partners Group Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KPG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

3.4%

KPG

0.9%

AU Professional Services

2.7%

AU Market


1 Year Return

15.0%

KPG

0.9%

AU Professional Services

-6.6%

AU Market

Return vs Industry: KPG exceeded the Australian Professional Services industry which returned 0.9% over the past year.

Return vs Market: KPG exceeded the Australian Market which returned -6.6% over the past year.


Shareholder returns

KPGIndustryMarket
7 Day3.4%0.9%2.7%
30 Day10.2%9.8%12.2%
90 Day4.5%-5.7%-2.8%
1 Year22.8%15.0%3.7%0.9%-2.7%-6.6%
3 Yearn/a12.4%2.1%18.2%2.6%
5 Yearn/a23.2%0.7%33.2%4.4%

Price Volatility Vs. Market

How volatile is Kelly Partners Group Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Kelly Partners Group Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KPG (A$0.92) is trading below our estimate of fair value (A$4.78)

Significantly Below Fair Value: KPG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KPG is poor value based on its PE Ratio (14.6x) compared to the Professional Services industry average (14.3x).

PE vs Market: KPG is good value based on its PE Ratio (14.6x) compared to the Australian market (15.8x).


Price to Earnings Growth Ratio

PEG Ratio: KPG is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: KPG is overvalued based on its PB Ratio (2.9x) compared to the AU Professional Services industry average (1.9x).


Next Steps

Future Growth

How is Kelly Partners Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

36.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KPG's forecast earnings growth (36.9% per year) is above the savings rate (2.3%).

Earnings vs Market: KPG's earnings (36.9% per year) are forecast to grow faster than the Australian market (14.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: KPG's revenue (12.6% per year) is forecast to grow faster than the Australian market (4.2% per year).

High Growth Revenue: KPG's revenue (12.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KPG's Return on Equity is forecast to be very high in 3 years time (117.5%).


Next Steps

Past Performance

How has Kelly Partners Group Holdings performed over the past 5 years?

33.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KPG has high quality earnings.

Growing Profit Margin: KPG's current net profit margins (6.4%) are lower than last year (11.1%).


Past Earnings Growth Analysis

Earnings Trend: KPG's earnings have grown significantly by 33.6% per year over the past 5 years.

Accelerating Growth: KPG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: KPG had negative earnings growth (-35.3%) over the past year, making it difficult to compare to the Professional Services industry average (11.6%).


Return on Equity

High ROE: KPG's Return on Equity (37.6%) is considered high.


Next Steps

Financial Health

How is Kelly Partners Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: KPG's short term assets (A$15.5M) do not cover its short term liabilities (A$16.8M).

Long Term Liabilities: KPG's short term assets (A$15.5M) do not cover its long term liabilities (A$24.5M).


Debt to Equity History and Analysis

Debt Level: KPG's debt to equity ratio (95%) is considered high.

Reducing Debt: KPG's debt to equity ratio has reduced from 126.3% to 95% over the past 5 years.

Debt Coverage: KPG's debt is well covered by operating cash flow (53.9%).

Interest Coverage: KPG's interest payments on its debt are well covered by EBIT (9.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Kelly Partners Group Holdings's current dividend yield, its reliability and sustainability?

5.26%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KPG's dividend (5.26%) is higher than the bottom 25% of dividend payers in the Australian market (2.5%).

High Dividend: KPG's dividend (5.26%) is low compared to the top 25% of dividend payers in the Australian market (6.54%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, KPG has been paying a dividend for less than 10 years.

Growing Dividend: KPG's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (73.1%), KPG's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KPG's dividends in 3 years are forecast to be well covered by earnings (48.6% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.8yrs

Average management tenure


CEO

Brett Kelly

no data

Tenure

AU$434,390

Compensation

Mr. Brett Kelly, BBus,CA,MTax,DipFS,RTA,JP is Founder at Kelly Partners Group Holdings Limited. Mr. Kelly serves as the Chief Executive Officer and Executive Chairman of Kelly Partners Group Holdings Pty L ...


CEO Compensation Analysis

Compensation vs Market: Brett's total compensation ($USD301.41K) is about average for companies of similar size in the Australian market ($USD261.38K).

Compensation vs Earnings: Brett's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Brett Kelly
Founderno dataAU$434.39k51.54% A$21.5m
Justin Sweeting
Deputy Chief Financial Officer0.75yrno datano data
Joyce Au
Company Secretary & General Counsel0.083yrno datano data
Leanne Edmonds
Head of People2.5yrsno datano data
Paul Kuchta
Executive Director3.08yrsno data0.36% A$150.9k

0.8yrs

Average Tenure

Experienced Management: KPG's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Brett Kelly
Founderno dataAU$434.39k51.54% A$21.5m
Paul Kuchta
Executive Director3.08yrsno data0.36% A$150.9k
Stephen Rouvray
Independent Deputy Chairman3.42yrsAU$30.00k0.22% A$92.0k
Ada Wing Poon
Director0.75yrno data0.72% A$300.3k
Ryan MacNamee
Independent Non Executive Director3.08yrsAU$30.00k0.32% A$133.4k

3.1yrs

Average Tenure

Experienced Board: KPG's board of directors are considered experienced (3.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Kelly Partners Group Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kelly Partners Group Holdings Limited
  • Ticker: KPG
  • Exchange: ASX
  • Founded: 2006
  • Industry: Research and Consulting Services
  • Sector: Commercial Services
  • Market Cap: AU$41.768m
  • Shares outstanding: 45.40m
  • Website: https://kellypartnersgroup.com.au

Location

  • Kelly Partners Group Holdings Limited
  • 32 Walker Street
  • Level 8
  • North Sydney
  • New South Wales
  • 2060
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KPGASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 2017
KPGCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2017

Biography

Kelly Partners Group Holdings Limited provides chartered accounting and other professional services to private businesses and clients, owners, and families in Australia. It offers audit; business, and personal and investment structures; cloud accounting; corporate and management; estate planning and management; family law assistance; accounting; immigration support; outsourced CFO; payroll; philanthropic; strata accounting and tax; ATO investigation and dispute; and taxation advice and compliance services. The company also provides tax services, including ATO audits, disclosures, and investigations and tax disputes; capital inflows and outflows; mergers and acquisitions; funds management and managed investment trust; structuring, negotiation, and tax legal advices; international tax for inbound and outbound investment and cross-border transactions; tax structuring; and trust structures and joint ventures. Its private wealth services comprises financial advice execution and ongoing administration of wealth protection and strategies; asset allocation strategies between asset classes, currencies, geographies, and generations; private banking assistances; and investment research and insights, as well as property; insurance; and finance services. The company’s estate office services include assessment and ongoing performance reviews of investment managers; administrative functions, such as bookkeeping, bill paying, and mail management; financial oversight of illiquid financial assets; monthly report of family/estate activities; critical document management; daily management of liquid financial assets; facilitation of estate planning; family governance structures, education, and intergenerational planning; and philanthropy advisory. In addition, it provides corporate advisory services. The company was founded in 2006 and is headquartered in North Sydney, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/05 10:57
End of Day Share Price2020/06/05 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.