Moneysupermarket owner’s profits surge amid insurance switching boom
23 July 2024, 01:09
Mony Group, which also owns Moneysavingexpert, saw 14% growth in its insurance comparison business.
Price comparison site Moneysupermarket’s parent firm enjoyed an 8% bump in profit to £73 million over the first half of this year, amid surging revenue from its insurance business.
Mony Group, which owns the website as well as Moneysavingexpert, saw 14% growth in its insurance comparison segment, which brought in £120 million in the six months to June 30.
It said insurance switching had seen “exceptional growth” in 2023 which has carried over into the first part of this year, but it expects the trend to taper off in the second half of 2024.
The insurance business made up for weaker results across other areas. Revenue in its home services arm, which includes energy switching and broadband, was down 10% to £16.7 million.
In recent months it has seen “continued weakness in broadband and a softening of mobile switching, driven by lower levels of conversion as providers increased focus on customer retention”.
“In energy, there were a few switching deals available but market uncertainty remains and energy revenues were immaterial,” the company added.
Meanwhile, its money division was down 2% at £50.9 million, as good performance in credit card switching was cancelled out by weakness in loans, which it put down to loans still being “less affordable for consumers in the high interest rate environment”.
“We also experienced a weaker performance in banking (current accounts and savings products) due to fewer attractive offers in the period,” it said.
Moneysupermarket also passed 500,000 people on its membership platform, SuperSaveClub, up from 300,000 in April.
Its Moneysavingexpert app passed 1.4 million downloads. Moneysavingexpert was founded by celebrity personal finance guru Martin Lewis and was bought in 2012 by what is now Mony Group.
Peter Duffy, chief executive of Mony Group, said: “We’ve made good progress in the first half of the year reaching a best-ever (first half) revenue and (adjusted profit).
“Ours is a business that only makes money if customers save money and in the first half of 2024, we saved customers £1.7 billion.”
