Moneysupermarket revenue up 12% to £316.4m

Peter Plumb

Shares of Chester-based price comparison website company fell about 5% after it said its revenues were currently behind last year amid low interest rates.

The company said 2016 revenue rose 12% to £316.4 million, operating profit rose 13% to £91.1 million, and it announced a £40 million share buyback programme “in line with capital allocation policy.”

Basic earnings per share rose 16% to 13.5p and dividend for the year was up 8% to 9.85p.

But in its outlook, said: “Insurance revenues and the core money business (credit cards and loans) delivered strong growth in the first two months of the year.

“Low interest rates continued to weaken savings and current account switching and energy is trading lower, as we have not yet run a collective switch.

“Consequently, group revenues are currently behind last year. The board is confident of delivering its expectations for the year.” shares fell to around 333p, giving it a current stock market value of roughly £1.8 billion. CEO Peter Plumb said: “We saved nearly seven million families £1.8 billion on their household bills in 2016, which helped us grow revenues by 12%.

“This adds up to another great year for the Moneysupermarket Group.

“We increased the dividend 8% and are announcing a £40 million share buyback.

“Our technology investment programme is equipping us to save more families more money on a wider range of bills in the years ahead.

“Using data to make comparison more personalised, more informed, quicker and easier is differentiating us from other comparison sites.”