(Reuters) – British price comparison platform MONY Group posted a slightly bigger-than-expected full-year core profit on Mondayas it reduced its expenses, sending the company’s shares up more than 5%.
MONY, which also lists money, travel, home services and cashback offers on its websites, said its adjusted core profit rose 7% to 141.8 million pounds ($178.50 million) in 2024.
That beat analysts’ average estimate of 139.5 million pounds, according to a company-compiled consensus.
The group’s revenue grew 2% to 439.2 million pounds, driven by its largest division, insurance services, as customers sought better car and home insurance deals.
The high cost of living and elevated inflation in Britain have driven consumers to hunt for bargains, especially for larger spends like insurance and home services, as they also tighten spending on non-essential items.
MONY’s revenue, however, fell short of analysts’ expectations of 441 million pounds.
It was a 9% drop in operating costs to 177.3 million pounds, in part due to lower television advertising and higher use of automation, that helped the company’s profit top estimates.
“Whilst revenue was a touch light, the small beat at the EBITDA level is encouraging, with the group flagging prudent cost management,” RBC Capital Markets analysts said in a note.
MONY also commenced a share buyback programme of up to 30 million pounds, which also helped its shares jump 5.3% to be among the top gainers on London’s mid-cap index.
The company said it expects this year’s adjusted core profit to be broadly within analysts’ expectations of 143.1 million pounds to 151.7 million pounds.
Analysts at Peel Hunt said in a note that they expect 2025 earnings to benefit by about 2% from the shares buyback. ($1 = 0.7944 pounds)
(Reporting by Simone Lobo in Bengaluru; Editing by Savio D’Souza)
