Hansard reports half-yearly fall in profits yet revenues rise
Hansard Global, the specialist long-term savings provider, has published its results for the six months ended 31 December 2019.
The results reveal new business levels for the group were £80.1m for 1H2020 (on a present value of new business premiums basis), up 8% from 1H2019.
The results, filed according to International Financial Reporting Standards (IFRS), show profits were £2.6m for the period, a fall from £3m in 1H2019.
Our underlying revenue is improving and we have made a number of cost savings in order to fund our investment in other parts of the business”
The company said profits were impacted by a £900,000 decline in investment income as a result of foreign exchange movements and lower deposit interest rates. Underlying revenue, however, increased marginally with fees and commissions earned up to £25.5m compared to £25m in 1H2019.
Hansard said there is "good momentum" from changes made over the past year, with growth of the Japanese business a particular focus for 2020.
In a statement via the LSE, the firm said: "We remain focused on progressing our new Japanese proposition and will update the market when we achieve our next key milestone, the signing of formal distribution agreements."
Yet the statement also cautioned that the impact of the coronavirus could have a detrimental effect on business in the coming months.
Gordon Marr, group CEO, commented: "While we were adversely impacted by foreign exchange volatility in the first half of our financial year, our underlying revenue is improving and we have made a number of cost savings in order to fund our investment in other parts of the business."
Marr added: "There is good momentum in the business with particularly strong new business levels in Latin America and the Middle East. Overall, our focus for 2020 remains on our two key strategic projects - launching our new investment product in Japan and replacing our policy administration system."
On Wednesday Hansard confirmed it has appointed Philip Kay as an independent non-executive director, effective from Tuesday.
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