The company is continuing to move ahead with its long-planned platform transformation but says it is moving more slowly to avoid too much disruption to advisers during the pandemic.
The company said: “The Group's objective with Platform Transfer Programme (PTP) is to ensure a smooth and safe platform transition, with timing scheduled to reduce disruption for advisers and customers. COVID-19 makes the feasibility of achieving that outcome on the current timeline more uncertain.”
The company says the current national lock-down may impact adviser readiness plans, training programmes and dress rehearsals ahead of the anticipated final migration date.
It plans to move ahead with the PTP “as quickly as possible” but achieving this may require extended timelines and, “potentially, a review of the migration phasing.”
The first migration of advisers and customers onto the new platform was carried out successfully in February and it will update the market again in August.
Overall, the group said that for the quarter ended 31 March business figures remained stable with Assets under Management and Administration of £95.3bn at the end of March 2020 down about £8bn year on year, although much of this was due to market volatility.
Net inflows were £0.5bn, stable on prior year, and first quarter gross sales were £3.3bn, 6% higher than the prior year (£3.1bn).
Quilter Financial Planning net flows rose from £0.6bn in Q1 2019 to £0.7bn in Q1 2020.
With £750m in cash held across the group it intends to continue with the first tranche of its share buyback and to recommend payment of the 2019 final dividend.
About 98% of Quilter's staff are now working remotely including over 200 contact centre-based staff servicing its UK and International platforms.
Paul Feeney, chief executive, said: "After a good start to the quarter in terms of flows, revenues and profitability, the global health crisis caused by Covid-19 has significantly altered economic and market expectations for the foreseeable future. The path and timing of the reversion to a more normal environment remain unclear and we expect this to be reflected in further market volatility.”
"While lower levels of AuMA will have an impact on revenues, the vast majority of our revenues are recurring by nature. Our capital and cash levels are in a strong position, and our board of directors therefore continues to recommend approval of the 2019 final dividend at the 2020 AGM. Quilter has a robust business model and the fundamentals that underpin our investment proposition remain strong.”
“I am confident we will emerge from this crisis in good shape and even more connected to our customers, our advisers and ourselves."