Back to previous section

Admiral profits rise, but shares fall on loss at intl business

Admiral reported a rise in 2021 profits driven by its motor insurance business and the release of reserves set aside for claims during the Covid pandemic, but reported a loss at its international insurance business.

  • Admiral Group
  • 25 April 2024 15:50:29
Admiral Group

Source: Sharecast

The home and car insurer said pre-tax profit rose 26% to £769m. The motor insurance division posted profit of £871m, up 27% and net revenue increased to £1.55bn from £1.31bn in 2020.

However, the international operation swung to a £11.6m loss from an £8.8m profit a year earlier. Admiral said Covid-related accident frequency benefits “returned to more normal levels and competitive activity increased in most markets". Shares in the company fell 7.3% on the news.

“Whilst we budgeted a loss for 2021, the actual result was a little worse than plan. A number of things contributed to the outturn, not least quite a big unwind of the lower Covid-related frequency seen in the 2020 loss ratios and highly competitive conditions in most markets which led to reduced average premium per customer,” Admiral said.

Motor and home insurers have benefited from the Covid-19 pandemic as fewer cars on the roads and more people working from home due to government restrictions have led to lower claims.

Admiral said it would pay a full-year dividend of 187p a share, including a special dividend of 75.8p a share.

FTSE 100 ( UKX )

Isin: N/A
Exchange: London Stock Exchange
Sell:
0.00
Buy:
0.00
Change: 23.08 ( 0.29 %)
Date:
Prices delayed by at least 15 minutes

Compare our accounts

Whether you're looking for a Share Dealing Account or Share Dealing ISA, we've got an account to suit your needs.

View our accounts

Lloyds Bank is not responsible for the content and accuracy of the Markets News articles. We may not share the views of the author. Understand the risks, please remember the value of your investment can go down as well as up and you may not get back the full amount you invest. We don't provide advice so if you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified Financial Advisor. Past performance is not a guide to future performance.

Important legal information

The Lloyds Bank Direct Investments Service is operated by Halifax Share Dealing Limited. Registered Office: Trinity Road, Halifax, West Yorkshire, HX1 2RG. Registered in England and Wales no. 3195646. Halifax Share Dealing Limited is authorised and regulated by the Financial Conduct Authority, 12 Endeavour Square, London, E20 1JN under registration number 183332. A Member of the London Stock Exchange and an HM Revenue & Customs Approved ISA Manager.

Logo Allfunds

The information contained within this website is provided by Allfunds Digital, S.L.U. acting through its business division Digital Look Ltd unless otherwise stated. The information is not intended to be advice or a recommendation to buy, sell or hold any of the shares, companies or investment vehicles mentioned, nor is it information meant to be a research recommendation. This is a solution powered by Allfunds Digital, S.L.U. acting through its business division Digital Look Ltd incorporating their prices, data news, charts, fundamentals and investor tools on this site. Terms and conditions apply. Prices and trades are provided by Allfunds Digital, S.L.U. acting through its business division Digital Look Ltd and are delayed by at least 15 minutes.

FE fundinfo Logo

Data provided by FE fundinfo. Care has been taken to ensure that the information is correct, but FE fundinfo neither warrants, represents nor guarantees the contents of information, nor does it accept any responsibility for errors, inaccuracies, omissions or any inconsistencies herein. Past performance does not predict future performance, it should not be the main or sole reason for making an investment decision. The value of investments and any income from them can fall as well as rise.

Refinitiv Logo

© 2024 Refinitiv, an LSEG business. All rights reserved.