Mony Group Plc (LON:MONY) has announced its preliminary results for the year ended 31 December 2024.
Continued strong strategic and financial progress; SuperSaveClub exceeds 1 million members
| Year ended 31 December | 2024 | 2023 | Growth % |
| Group Revenue | £439.2m | £432.1m | 2 |
| Adjusted EBITDA * | £141.8m | £132.9m | 7 |
| Profit After Tax | £80.2m | £72.3m | 11 |
| Adjusted Basic EPS ** | 17.1p | 16.2p | 5 |
| Basic EPS | 15.0p | 13.5p | 11 |
| Operating Cashflow | £115.6m | £102.2m | 13 |
| Net Cash/(Debt) *** | £8.4m | (£19.8m) | n.a |
| Dividend Per Share | 12.5p | 12.1p | 3 |
Financial highlights
· Record revenue of £439.2m, up 2%, driven by good performance in Insurance particularly in the first half, as well as growth in Cashback
· Highest ever Adjusted EBITDA, up 7% to £141.8m, with Adjusted EBITDA margin expanded by 1%pt to 32% demonstrating continued robust cost management
· Profit After Tax of £80.2m, up 11%
· Adjusted Basic Earnings Per Share of 17.1p, up 5%
· Operating Cashflow of £115.6m, up 13%
· Return to Net Cash after paying down the term loan for the Quidco acquisition
Shareholder returns
· The Board has proposed a final dividend per share of 9.2p, bringing the total dividend for FY24 to 12.5p, up 3%
· Share buyback programme of up to £30 million, reflecting MONY Group’s strong cash generation and robust financial position
Strategic highlights
· Helped households save an estimated record £2.9bn
· Strong momentum across our member-based propositions;
o SuperSaveClub (SSC) has surpassed 1 million members with all major products live. Members now generate 12% of Group sales
o Advanced CRM and personalisation capabilities leveraging our group tech and data platform are delivering enhanced engagement and efficiency:
§ Sophisticated programme of renewals reminders, helpful content and cross-sell emails and app push messages are achieving a 3x uplift in engagement from SSC members, cashback is now available in SSC
§ Compare+ Home launched in MoneySavingExpert app, and enhanced personalisation including daily deals and favourite brands are now available in Quidco
· Continued progress with our provider propositions; B2B, Tenancy and Market Boost
o 35 B2B partners live, including leading names such as AutoTrader and Rightmove
o Expansion of Tenancy which is now live in the SSC
o Market boost now available to c.80 providers across Money, Insurance and Broadband
· AI is transforming our customer operations and content generation
Peter Duffy, CEO of MONY Group, commented:
“We are proud to have helped customers save a record £2.9 billion – the more customers save, the more the Group grows. We’ve done this by delivering strong performance both operationally and financially in 2024 as we continue to execute on our strategy. This includes encouraging customers to join our member-based propositions like the SuperSaveClub which, in turn, reduces our reliance on increasingly expensive pay-per-click (PPC) marketing.
This sustained momentum has enabled us to grow the dividend by 3% this year, alongside the announcement of a share buyback programme of up to £30 million, which will deliver enhanced returns to shareholders. This reflects our confidence in the continued execution of our strategy, and importantly, means we retain significant capacity to support future growth.”
Outlook
Our recent trading performance, coupled with momentum in our strategic execution gives the Board confidence that we will deliver Adjusted EBITDA for 2025 broadly within our current published consensus.
Despite headwinds in the car insurance switching market, strength in our breadth provides us with resilience and we continue to see other opportunities for growth across the business.
We anticipate operating cost inflation (excluding Depreciation and Amortisation) to be largely mitigated through our ongoing focus on cost efficiency.
We remain well positioned to continue to deliver sustainable, profitable growth.
Market expectations for Adjusted EBITDA for 2025 from the analyst consensus on our investor website is £147.0m with a range of £143.1m to £151.7m
*Notes:
* Adjusted EBITDA is operating profit before depreciation and amortisation and adjusted for other non-underlying costs as detailed on page 13. This is consistent with how business performance is measured internally.
**Adjusted Basic Earnings Per Share is profit before tax adjusted for amortisation of acquisition related intangible assets and other non-underlying costs as described on page 13. A tax rate of 25.0% (2023: 23.5%) is applied to calculate adjusted Profit After Tax. This is divided by the number of weighted average shares. A reconciliation of adjusted basic earnings per share to the financial statements is included in note 4. Adjusted basic earnings per share for the year ended 31 December 2023 has been updated from 16.0p to 16.2p to reflect the reclassification of costs to adjusting items noted above.
***Net cash/(debt) is cash and cash equivalents of £22.4m (2023: £16.6m) less borrowings of £12.0m (2023: £34.5m) and loan notes payable to Podium’s non-controlling interest of £2.0m (2023: £1.9m). It does not include lease liabilities.
Quarter 4 trading
| Revenue for the three months ended 31 December 2024 | Revenue for the year ended 31 December 2024 | |||
| £m | Growth % | £m | Growth % | |
| Insurance | 53.0 | 2 | 235.6 | 7 |
| Money | 22.7 | (2) | 97.8 | (2) |
| Home Services | 10.0 | 0 | 36.1 | (7) |
| Travel | 2.7 | (6) | 19.6 | (5) |
| Cashback | 16.8 | 0 | 60.8 | 2 |
| Inter-vertical eliminations | (2.4) | 6 | (10.7) | 44 |
| Total | 102.8 | 0 | 439.2 | 2 |
Revenue in Q4 was flat with solid Insurance performance offset by softer trading in Money and Travel.
· In Insurance revenue was up 2%, despite premium inflation in car and home returning to more normal levels, with travel and life performing particularly well
· Money was down 2% in the quarter due to fewer attractive current account deals. Borrowing continued to grow, driven by improved credit card switching volumes
· Home Services growth was flat in the quarter with some improvement in energy switching helping to offset continued challenges in broadband and mobile from provider retention strategies
· Revenue from Travel fell 6% in the quarter with performance slowing in a competitive market. Note that travel insurance is included within Insurance
· Cashback revenue was flat in the quarter with strong performance in insurance offsetting softer trading in retail
Results presentation
A presentation for investors and analysts will be available from 7am at https://www.monygroup.com/investors/results-reports-and-presentations
A Q&A session will be held at 9.30am with Peter Duffy (CEO) and Niall McBride (CFO) accessed via: https://edge.media-server.com/mmc/p/iet6tie8
Notes: Adjusted EBITDA is operating profit before depreciation and amortisation and other non-underlying costs described on page 13.
