Phoenix Group sees profits surge in 2020

Phoenix Group assets under management at £338bn

Phoenix Group (LON:PHNX) reported a substantial increase in operating profit for 2020, and said it is in a strong position to leverage the key industry drivers of growth.

The FTSE 100 company confirmed an operating profit of £1.2bn, up from £810m the year before.

The insurance firm also recorded a rise in its assets under management from £248bn in 2019 to £338bn.

Phoenix Group’s board declared a final dividend of 24.1p per share, bringing the full-year dividend up to 47.5p per share. This is up from 46.8p per share in 2019.

After an hour of trading, the company’s share price was up by 2.34% to 744p per share.

Commenting on the results, Group CEO, Andy Briggs said:

“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. We delivered record cash generation of £1.7 billion, our Solvency balance sheet remained resilient, we delivered our highest ever year of Open business growth, and we have recommended a 3% increase in our 2020 final dividend.”

“We are led by our purpose of ‘helping people secure a life of possibilities’ to deliver for all of our stakeholders and are putting sustainability at the heart of our business. During the year we have focused on delivering better outcomes for our customers, investing in our people, supporting our local communities, and have made a commitment to be net-zero carbon across our operations by 2025 and our investment portfolio by 2050. COVID-19 has challenged each and every one of us and I am very grateful for the outstanding dedication and professionalism of my colleagues which ensured we protected our customers throughout.”

“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.”

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