Bell Financial Group Ltd (ASX:BFG) is a diversified provider of financial products and software solutions within, and increasingly outside, its traditional full-service stockbroking business. BFG has provided a trading update for the 11 months to November 2025, with group PBT well above RaaS estimates. Technology & Platforms and Products & Services PBT combined was 24% above the previous corresponding period (pcp) (RaaS +15% for FY25), an acceleration on the H1 FY25 growth rate (+16%). The implied Retail & Institutional PBT for the same period is a touch higher than FY24 but given H1 was loss making the implied H2 growth on the pcp was ~240% and the best half for the division since H2 FY21. RaaS now estimate $1.1b in ECM activity in H2 FY25, up from $450m in H1. Group PBT growth to November was 17%, 15% above the RaaS estimate. We adjust our numbers accordingly and increase our final dividend assumption to 5cps. Higher BFG earnings are offset by generally lower peer multiples and see our valuation remain at $2.45/share. BFG continues to put in place a structure that incentivises fee income over transactional income, which should lead to a re-rating over time, in our view. To this point we estimate non-broking NPATA at 74% in FY25, up from 70% in FY24.
