3rd Sep 2025 08:48
(Alliance News) - M&G PLC on Wednesday said its profit increased in the first half of the year, amid "strong" net flows from open business and a larger investment return.
The London-based asset manager said pretax profit more than doubled to GBP559 million in the six months to the end of June from GBP209 million a year ago.
The investment return climbed 18% to GBP5.30 billion from GBP4.47 billion.
However, the insurance service result fell 4.5% to GBP514 million from GBP538 million, as insurance revenue increased 0.4% to GBP1.99 billion from GBP1.98 billion, but insurance service expenses ticked up 1.8% to GBP1.45 billion from GBP1.43 billion.
Overall, M&G's net insurance and investment result for the first half more than doubled to GBP1.60 billion from GBP766 million.
M&G declared an interim dividend of 6.7 pence per share, up 1.5% from 6.6p a year ago.
"I am pleased with our progress over the first six months of the year. A key highlight is the positive GBP2.1 billion net flows from open business, a GBP3.2 billion improvement from the same period last year. This is a strong result underpinned by GBP2.6 billion net inflows from external clients in Asset Management," said Chief Executive Officer Andrea Rossi.
The firm said it has continued to progress its transformation programme, as it has achieved GBP213 million of cost savings since launch of the total upgraded cost saving target of GBP230 million.
M&G noted that 58% of Asset Management third party assets under management and administration now come from international clients, up from 37% five years ago.
"This cements our position as a leading international active asset manager, with an established footprint in Europe and growing access to attractive Asian markets, CEO Rossi said.
Looking ahead, M&G said it is "well positioned to navigate the current uncertain economic and geopolitical environment due to its diversified business model, international footprint, compelling products and services, investment capabilities and expertise".
"The balanced and diversified nature of our business model, as well as the momentum across our Asset Management and Life businesses, gives me confidence for the future. We continue to build on our strong foundations to deliver long-term growth for our customers, clients and shareholders, which is high-quality and diversified across products, segments, and markets," said CEO Rossi.
Shares in M&G were down 1.7% at 252.52 pence in London on Wednesday morning.
By Michael Hennessey, Alliance News reporter
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