AMP's NZ unit lifts first-half profit 9% on better insurance claims management
Operating profit rose to $64.6 million in the six months ended June 30.
AMP Financial Services New Zealand [NZX: AMP] lifted first-half operating profit 9% by keeping control of costs while improving management of insurance claims, it says.
Operating profit rose to $64.6 million in the six months ended June 30, from $59 million a year earlier, the Auckland-based company said in a statement. That was largely due to a "claims experience" profit of $4.3 million in the period, turning from a loss of $500,000 a year earlier, which AMP said was due to improved claims management and a lower lapse rate.
"As we continue to grow our revenue base, closely manage our costs and refresh our channels, we believe the business is in a good position to achieve a solid result for the full financial year," New Zealand managing director Jack Regan said.
AMP's group profit jumped 33% to $A507 million on a 19% gain in revenue to A$8.62 billion. The board declared an interim dividend of 12Ac a share, payable on October 9, with a September 3 record date.
The New Zealand financial services division increased net cash flows 6% to $214.6 million on growing KiwiSaver funds and client gains, with assets under management expanded 10% to $14.9 billion.
Mr Regan again warned the local division's profit will be eroded by $10 million in the second half of the financial year, and a further $10 million in the first half of 2016 due to tax changes on the assessment of life insurance.
AMP Capital, the group's fund management division, which also covers New Zealand, had $A18.25 billion in local assets under management, out of the $A151.47 billion it manages around the world.
The dual-listed shares were unchanged at $6.98 on the NZX, and last traded at $A6.28 on the ASX.
(BusinessDesk)
Paul McBeth
Thu, 20 Aug 2015
Thu, 20 Aug 2015
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AMP's NZ unit lifts first-half profit 9% on better insurance claims management
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