Prudential PLC Posts 6% Rise in First-Half Operating Profit

By Sherry Qin

Prudential PLC's operating profit rose 6% in the first half of 2023, beating analysts' consensus forecast amid lower costs and higher profits from its asset-management business.

The insurance-and-investment business on Wednesday posted an IFRS-adjusted operating profit of $1.46 billion. The metric, which strips out exceptional and other one-off items, is one of its preferred metrics and a closely watched industry figure.

The result compares with market expectations of $1.38 billion, according to a company-compiled consensus.

Prudential's new-business profit increased 39% to $1.49 billion, with 17 of its life-insurance markets delivering growth.

The London- and Hong Kong-listed company's annual premium equivalent was $3.03 billion, beating the consensus forecast of $2.93 billion compiled by Prudential.

The board declared an interim dividend of 6.26 cents a share.

Looking ahead, Prudential expects the momentum seen in the first half to extend into the third quarter, though the outlook for Asian markets is mixed.

Under the leadership of Anil Wadhwani, who joined as group chief executive in February, the insurance company plans to implement changes to its organizational model to drive quality sales and improve the economic value it generates from business.

Prudential aims to achieve new-business profit of between $4.4 billion and $5.4 billion by 2027.

Write to Sherry Qin at sherry.qin@wsj.com

(END) Dow Jones Newswires

August 30, 2023 01:03 ET (05:03 GMT)

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