Confused.com posts a profit rise and assures Admiral’s investors
Wednesday 06 March 2013
Confused.com today posted its first rise in profits for four years, boosting shares at its parent group Admiral.
The price comparison site, which has struggled to beat off competition from rivals such as Comparethemarket.com and Gocompare.com, delivered a pre-tax profit of £344.6 million in 2012, up 2 per cent year-on-year.
The recovery helped insurer Admiral increase group profits by 15 per cent to £344.6 million and ease investor concerns over its long-term future. However, one blackspot continues to be the company’s overseas business, which posted a £24.5 million loss.
Chief executive Henry Engelhardt, pictured, was in an upbeat mood as he celebrated the landmark occasion. “Twenty years ago, Admiral launched on a grey Saturday in Wales — the seventh of what ultimately became a couple of dozen Direct Line clones,” he said.
“We’ve done the heavy lifting: the first 20 years. We’ve put the hole in the ground and we’ve got the cranes in place. All that’s left to do is to build the metaphorical skyscraper.”
Admiral, which also owns the Diamond and Elephant brands, has been under pressure to prove it will be able to withstand forthcoming regulatory changes to the UK motor insurance market.
These include a ban on referral fees from personal injury lawyers that comes into force next month. The competition watchdog is also investigating how insurers provide replacement vehicles for customers whose cars are damaged, amid worries current practices lead to inflated costs.
The company said it earned about £32.2 million from personal injury and car hire referral fees last year. Experts now expect it to diversify by branching into the legal sector to replace the loss of third party fees.
Admiral shares rose by 57p to £13.24 as the company increased its final dividend by 25 per cent to 45.5p. The dividend will result in a near £40 million payout for Engelhardt and fellow directors.
- 3 Amal Clooney gives excellent response to fashion question at European Court of Human Rights
- 4 A bottle of wine a day is not bad for you and abstaining is worse than drinking, scientist claims
- 5 Isis publicly behead man in Syrian town square for 'insulting Allah' as he screams for help
Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
Michelle Obama highlights harsh restrictions faced by Saudi women after meeting King Salman without wearing a headscarf
Amal Clooney gives excellent response to fashion question at European Court of Human Rights
Sir David Attenborough interview: The one question about life that still baffles him
Isis publicly behead man in Syrian town square for 'insulting Allah' as he screams for help
9 reasons Greece's experiment with the radical left is doomed to failure
'We would evict Queen from Buckingham Palace and allocate her council house,' say Greens
Greece elections: Syriza and EU on collision course after election win for left-wing party
British Muslim school children suffering a backlash of abuse following Paris attacks
British grandmother Lindsay Sandiford faces execution by firing squad in Indonesia
Liberal Democrat minister defends comments suggesting immigration causes pub closures
iJobs Money & Business
£13000 per annum: Recruitment Genius: This Pension Specialist was established ...
£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...
£25000 - £35000 per annum: Recruitment Genius: A Technical Report Writer is re...
Competitive salary & benefits!: MBDA UK Ltd: MBDA UK LTD Indirect Procurement...