22nd Jul 2021 10:03
(Alliance News) - Moneysupermarket.com Group PLC on Thursday posted a drop in interim earnings of more than a quarter as the pandemic continued to disrupt normal trading.
The price comparison website posted pretax profit for the six months ended June 30 of GBP37.0 million, having fallen 28% from a year prior. Revenue also declined, dropping 11% year-on-year to GBP162.3 million.
Shrinking revenue was attributed to Covid-19 market impacts and "challenging energy market dynamics".
Despite the disappointing results, Moneysupermarket said it was confident of delivering market expectations for the year. It pointed to a return to normal trading conditions in Insurance, excluding travel, and said a gradual improvement in Money is expected for the year. The expected increase in the energy price cap in October should also improve customer savings levels, the company noted.
"Our markets are still on the road to recovery ahead of what should be more normal trading conditions in 2022," commented Chief Executive Peter Duffy.
On a divisional basis, Moneysupermarket performed strongest across its Money business, with half-year revenue down 3% year-on-year to GBP35.3 million, benefiting from gradually improving conversion in cards and loans.
Its Travel division continued to struggle with revenue of just GBP1 million, a decline of 77% from a year prior. Home Services revenue shrunk 14% to GBP45.5 million, with the energy price cap increase in April "insufficient to offset sharply rising wholesale prices".
Despite the challenging period, the group maintained its interim dividend of 3.1 pence per share.
Moneysupermarket.com shares were trading up 2.7% at 261.40p each in London on Thursday morning.
By Will Paige; [email protected]
Copyright 2021 Alliance News Limited. All Rights Reserved.
Related Shares:
Moneysupermarket.Com