Moneysupermarket profits rise 113% but warns of slowdown
Price comparison site Moneysupermarket.com has reported revenue for the six months to June 30 of £99.4m, a rise of 27% on the same period last year. However, it warns growth will slow in the second half of the year, primarily in its money-based division.
Pre-tax profit were up 113% to £14.4m, while underlying earnings grew by 14% to £30.1m in the same period. Visitors to the group’s websites increased by 39% to 62 million and transaction levels rose by 37% to £39.6m.
The company forecasts that limited product availability in its loans and mortgage markets will cause revenues from its money-based division to be down by 10% in the third quarter on a “strong” period a year earlier.
Chief executive Simon Nixon says the first half results demonstrate the “range” of the company’s business. He adds that the company is expected to launch a comparison services based on shopping in the next few weeks.
It says it is inceasing its spending on brand promotion as price comparison sites become more popular and amid increased competition.
Moneysupermarket.com operates under its flagship brands Moneysupemaket.com and Travelsupermarket.com, which allow consumers to compare prices for mortgages, loans, credit cards and package holidays.
