GOCO.L Share News (GOCO)

(Sharecast News) - GoCo said its AutoSave business's customer numbers were ahead of guidance and that consumers were comparing prices again after a dip during the Covid-19 shutdown.
The price comparison company, which owns the GoCompare website, said AutoSave was on course to have more than 460,000 customers by the end of June. It said the business had continued its annualised growth of more than 100%.

AutoSave operates under the WeFlip and Look After My Bills brands to switch subscribers automatically to the cheapest deal when their contracts are up. GoCo said the business continued its rapid growth despite a dip in consumers shopping around for deals during the coronavirus crisis.

Marketing spending for AutoSave is unchanged from previous guidance and the business is experimenting with direct response TV advertisements to take advantage of lower ad rates. GoCo is looking at ways to expand AutoSave into more products, it said.

Matthew Crummack, GoCo's chief executive, said: "I'm delighted with the progress we continue to make on AutoSave with the strong growth in customer numbers through Q2. This growth continues to surpass our expectations, having beaten guidance for the third successive time. It's also exciting to be nearing a key milestone of half a million AutoSave customers, with more to come."

GoCo shares rose 5.9% to 88.82p at 08:59 BST.

The number of consumers switching their domestic energy supplier fell 29% in April from a year earlier despite people spending more on energy working from home and feeling worried about their finances, GoCo said.

GoCo said GoCompare's car insurance volumes started to recover in May with online searches level with a year earlier after falling by a quarter during lockdown. The company said it expected a further increase after car showrooms opened on 1 June.