Moneysupermarket owner's profits surge amid insurance switching boom
Mony Group, which owns the website as well as Moneysavingexpert, saw 14 percent growth in its insurance comparison segment, which brought in £120 million in the six months to June 30.
Moneysupermarket's parent company, Mony Group, has reported an eight percent increase in profit to £73 million for the first half of this year, largely due to a surge in revenue from its insurance business. The firm, which also owns Moneysavingexpert, saw a 14 percent growth in its insurance comparison segment, generating £120 million in the six months leading up to June 30.
The company attributed this to "exceptional growth" in insurance switching during 2023, a trend that continued into early 2024, although it anticipates a slowdown in the latter half of the year. However, not all areas performed as well.
Its home services division, encompassing energy switching and broadband, saw a 10 percent decrease in revenue to £16.7 million. The company cited "continued weakness in broadband and a softening of mobile switching, driven by lower levels of conversion as providers increased focus on customer retention" due to providers focusing more on customer retention.
Energy revenues were deemed "In energy, there were a few switching deals available but market uncertainty remains and energy revenues were immaterial," due to market uncertainty and limited switching deals. Additionally, the money division experienced a slight dip of two percent, earning £50.9 million.
Despite strong performance in credit card switching, this was offset by a weaker loans sector, attributed to high interest rates making loans less affordable for consumers. The company also noted a decline in banking performance due to fewer attractive offers available.
Moneysupermarket's membership platform, SuperSaveClub, has seen a surge in numbers, now boasting over 500,000 members, up from 300,000 back in April.
The group's Moneysavingexpert app has also achieved a remarkable milestone with more than 1.4 million downloads. The app was the brainchild of renowned personal finance expert Martin Lewis and became part of the Mony Group portfolio following its acquisition in 2012.
Peter Duffy, the chief executive of Mony Group, expressed his satisfaction with the company's performance, stating: "We've made good progress in the first half of the year reaching a best-ever (first half) revenue and (adjusted profit)."
He further highlighted the value they provide to customers by adding: "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."
