Standard Life profits rise 71%

British insurer Standard Life beat forecasts day with a 71 per cent rise in first-half operating profit.

British insurer Standard Life beat forecasts day with a 71 per cent rise in first-half operating profit.

Standard Life, which scrapped its mutual status and listed last year, said its operating profit before tax, on a European embedded value basis, was £353 million (€522 million).

A poll of nine analysts by Reuters had produced an average forecast of £318 million, while the company had provided a consensus forecast of £327 million.

On a statutory basis, underlying profit before tax fell 10 per cent, hit by tough comparisons after 2006 benefited from provision releases and exceptional sales in Germany.

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Standard Life said new business contribution for the first half was £151 million, up 66 per cent and again above expectations, with group margins - which it had already signalled would be above 2006's 1.4 per cent - at 1.8 per cent.

The insurer said it would pay an interim dividend of 3.8 pence per share, a touch above forecasts.