(Alliance News) - Phoenix Group Holdings PLC on Monday said its performance improved in 2020 and it expects further growth going forward.
The London-based insurance services provider reported record cash generation of GBP1.7 billion for 2020, exceeding the upper end of its GBP1.5 billion to GBP1.6 billion target range, and ahead of GBP707 million posted for 2019.
Pretax profit for 2020 jumped to GBP1.27 billion from GBP351 million year-on-year, as revenue rose to GBP4.70 billion from GBP4.18 billion.
Total operating expenses, meanwhile, were reduced to GBP20.71 billion from GBP28.65 billion in 2019.
The company proposed a final dividend of 24.1 pence per share, resulting in a 2020 full year dividend of 47.5p per share, up from 46.8p per share paid a year earlier.
Phoenix reported record incremental open new business long-term cash generation of GBP766 million in 2020, a 59% year-on-year increase. Retirement solutions new business long-term cash generation jumped year-on-year to GBP522 million from GBP235 million in 2019.
Assets under administration stood at GBP338 billion as at the end of 2020, up from GBP248 billion the year before.
"2020 was a landmark year for Phoenix during which we completed the acquisition of ReAssure and became the UK's largest long-term savings and retirement business," said Chief Executive Andy Briggs.
"Looking ahead to 2021, we will continue to optimise our in-force Heritage business for cash and resilience, while the recent acquisition of the Standard Life brand will support us in accelerating our Open business growth strategy," added Briggs.
Phoenix shares were trading 2.4% higher in London on Monday at 744.20p each.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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Phoenix Group Holdings (PHNX)