6th Nov 2013 09:01
LONDON (Alliance News) - Moneysupermarket.com Group PLC Wednesday said significant numbers of people switching UK energy suppliers because of price hikes boosted its revenues, with the price-comparison website now expecting its full-year earnings to come in ahead of forecasts.
The company said it expects its earnings before interest, tax, depreciation and appreciation to be a "mid-single digit percentage" ahead of the market consensus, which it cited as GBP78.4 million for the year ended December 31.
The company's shares were up 14%, at 176.59 pence following the news.
Moneysupermarket - whose website enables customers to search for better deals on insurance, utilities, and financial products - said it has had a very strong start to the fourth quarter, with revenues 25% ahead of the same period last year, mainly driven by energy switching since mid-October.
In October, major UK energy suppliers, such as RWE npower, Centrica PLC's British Gas and SSE PLC, increased prices by eight to ten percent.
"Revenues from energy switching in particular have been very strong as consumers sought better deals in the face of rapidly rising domestic fuel bills announced by the majority of the major providers in the second half of October," Moneysupermarket said.
Third-quarter revenues were in line with the company's expectations, Moneysupermarket said in its interim management statement for the period from July 1 to date. Revenues and EBITDA for the third quarter were, respectively, 5% and 26% ahead of the same period last year, it said.
It said visitors to MoneySupermarket.com were 5% ahead of the same period last year.
The third quarter covers the three months to September 30.
In a separate statement, Moneysupermarket said it has recruited Matthew Price, currently Costa Coffee Finance Director, as the successor to the outgoing finance director Paul Doughty.
Price will be appointed an executive director in the first quarter of 2014, with Doughty set to leave following a handover period.
By Samuel Agini; [email protected]; @samuelagini
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