AMP Lifts First-Half Profit Outlook on China Growth
Synopsis
The wealth manager has upgraded its first-half profit guidance, citing stronger earnings from its China partnerships and favourable investment income.
AMP lifted profit guidance for the first half of 2026 following strong contributions from China partners and investment income, pushing its shares to a nine-month high.
The wealth manager now anticipates its underlying net profit after tax (NPAT) to be between $170 million and $180 million for the six months ending 30 June 2026. This represents a significant increase from the $131 million achieved in the prior corresponding period and precedes the release of AMP's half-year results.
Investors cheered the announcement with AMP shares climbing more than 5% to $1.89, its highest level since October 2025.
China Partnerships Drive Earnings Upgrade
The company flagged that contributions from its China partnerships were estimated to reach approximately $56 million in the first half, an increase of 24% on the preceding six months, making it the biggest contributor to the revised higher profit forecast.
AMP also expects to record around $13 million in carried interest from the part sale of legacy fund assets that remained after divesting its international infrastructure equity business.
Offsetting factors included a $5 million increase in investment income from higher interest rates and $5 million from the North Guarantee platform, though this was partially tempered by a $12 million negative revaluation of sponsor investments in AMP's Other Partnerships business.
Wealth Sector Continues to Expand
The upgrade comes after AMP achieved an underlying NPAT of $285 million in the financial year to 2025, a rise of 20.8% on the prior year, with assets under management and administration climbing to $161.7 billion.
The external environment continues to provide tailwinds for the wealth management sector. Australia's superannuation assets totalled $4.44 trillion as at March 2026, of which $3.14 trillion are managed by APRA-regulated funds according to the latest APRA Quarterly Superannuation Performance Statistics. W
ith the exception of the US, the UK, Canada and Japan, this makes Australia one of the largest pension systems in the world and represents substantial retirement savings for investment managers to deploy.
From an investor's perspective, China has proven an increasingly significant revenue generator for AMP through its long-standing asset management joint ventures, while its domestic wealth management business continues to benefit from growing retirement savings and a stable flow of funds into Australia's compulsory superannuation system.
Source: Capital Brief
Pooja Malik is a business journalist with over six years of experience covering startups, entrepreneurship, and emerging trends. She has previously worked with leading media platforms such as YourStory Media and BW BusinessWorld, where she reported on business, policy, and market developments. Currently, she serves as Editor at The Inspirepreneur Magazine, where she writes and edits stories across business, lifestyle, and travel, with a focus on clarity, accuracy, and reader relevance.
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