Mony reiterates outlook despite market headwinds

(Sharecast News) - MoneySuperMarket-owner Mony Group reiterated its full-year guidance on Monday, despite ongoing weakness in the car insurance market. Group revenues in the six months to 30 June nudged up just 1%, to £225.3m, while adjusted earnings before interest, tax, depreciation and amortisation rose 2% at £75.1m.

Within individual divisions, revenues in money were 4% higher, at £52.8m, and up 29% in home services, at £21.6m.

But in insurance, its biggest sector by some distance, revenues fell 2% to £117.7m. While home insurance premiums rose 4%, they slid 9% in motor, contributing to a 2% decline in car insurance revenues.

The cashback division also struggled, with revenues 9% lower at £27.2m.

However, looking to the full year and the FTSE 250 group said it remained on track to meet consensus for adjusted EBITDA of £143.7m.

"Despite the headwinds faced in some of our end markets, we continue to leverage our strength in breadth and the agility of our platform to deliver resilient financial performance while maintaining strategic momentum," Mony said.

Chief executive Peter Duffy added: "We are rolling out new AI-assisted customer experiences in insurance, credit cards and energy, and we've launched multiple products during the half focused on new, profitability growth opportunities, such as our new life insurance offer.

"We have a clean balance sheet, maintain an active pipeline of M&A opportunities and are well placed to deliver further value for our shareholders."