Moneysupermarket profit surges as insurance boom pays off
Moneysupermarket’s parent company’s operating profit surged eight per cent to £73m over the last six months, as the company’s expansion into insurance paid off for the price comparison website.
The company’s interim results revealed revenue had grown five per cent compared to 2023, while operating costs jumped only two per cent, thanks in part to improved marketing efficiencies.
Moneysupermarket’s insurance division drove the bulk of the growth. The arm reported a 14 per cent surge in revenue from £106m last year to £120m.
Following the group’s rebrand in May, which saw it swap the Moneysupermarket name on its corporate holding company to ‘MONY’, it has continued to expand its business.
Moneysupermarket SuperSaveClub passed 500,000 members, after sitting at only 300,000 in April of this year, while the group’s Moneysavingexpert app passed 1.4 million downloads.
37 business to business partners were also onboarded throughout the last six months, ranging across sectors from car and home insurance, to broadband, mobile and energy.
Looking ahead, the company’s interim results “give the board confidence that the group will deliver results in line with market expectations,” it said, while would mean an adjusted operating profit of around £140.5m.
However, Moneysupermarket did warn that the “exceptional” growth in the insurance market over the last year is unlikely to be maintained, while it also does not expect any “material revenue” from energy switching this year.
The company also hiked its dividend by three per cent, which now sits at 3.3 pence per share.
Peter Duffy, CEO of MONY Group, the parent company of Moneysupermarket, said: “We’ve made good progress in the first half of the year reaching a best ever H1 revenue and earnings before interest, tax, deprecation and amortisation (EBITDA). Ours is a business that only makes money if customers save money and in the first half of 2024, we saved customers £1.7bn.
“By offering easier ways to save through Supersaveclub, the Moneysavingexpert App and Quidco, customers will increasingly come to us direct and more frequently too. The work we have done on our tech and data platform makes this possible, and I am excited about the growth opportunity ahead.”