Proactive Investors - Moneysupermarket.com (LON:MONY) has unveiled its preliminary results for the year ended December 31, 2023, which showed total revenues increasing 11% to £432.1 million.
Growth was spearheaded by the insurance sector, which saw a notable 28% increase in revenue as high premium inflation continued, driving high search traffic and a surge in consumers switching home and car cover providers.
MSM operates primarily on a commission-based revenue model, with the company earning a fee by referring customers to providers of various financial products, insurance, utilities, and other services.
Underlying earnings were up 14% to £131.9 million, while profit after tax rose by 4% to £72.3 million.
The company's adjusted basic earnings per share (EPS) improved by 12% to 16p.
"We helped customers save a record £2.7bn in 2023. The more we can help households save, the more the Group grows. We're proud that in tough times for consumers, MoneySuperMarket, MoneySavingExpert and Quidco have been able to make a real difference for so many." remarked chief executive Peter Duffy.
Looking ahead, MSM cautioned of tougher insurance comparatives and sluggish energy-switching revenues: “In the first few weeks of 2024, we have had similar trends to those seen at the end of the fourth quarter 2023 continue.
“We don't expect any increase in energy switching revenue in 2024. We expect the comparatives in Insurance will become tougher, particularly as we move into the second half.
“However, our trading performance and momentum in our strategic execution, gives the board confidence that Group EBITDA will be within the current market consensus range.”
The board announced an 8.9p final dividend, making the proposed full year dividend 12.1p per share.