LONDON (Alliance News) - Standard Life PLC on Friday reported higher operating profit before tax in 2015, as stronger fee-based revenue more than offset a fall in spread/risk margin business.
The Edinburgh-based firm, which provides pensions, savings, insurance and investments products, said operating profit before tax from continuing operations amounted to GBP665 million in 2015, up from GBP608 million in 2014, and ahead of analyst forecasts of GBP616 million.
The FTSE 100 constituent lifted its dividend for the year as a whole to 18.36 pence per share from 17.03p. Analysts had forecast an annual dividend of 18.32p.
Assets under administration from continuing operations grew to GBP307.4 billion over the course of the year, up from GBP296.6 billion at the end of 2014, driven by net inflows of GBP6.3 billion.
Fee-based revenue rose by 10% to GBP1.58 billion, while spread/risk margin business fell to GBP101 million from GBP140 million.
Keith Skeoch, who succeeded the long-serving David Nish as chief executive in August 2015, said Standard Life has continued its transition into a group increasingly dominated by its investment arm, which he previously led.
"The start of 2016 has seen difficult conditions in global financial markets which have negatively impacted asset values as well as investor and consumer sentiment," Skeoch said.
"While these conditions may persist for some time and regulatory and political changes may impact the markets we operate in, Standard Life remains well positioned to meet the needs of clients and customers around the world.," Skeoch added.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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