Legal & General FY profits up 17%; sees market volatility ahead
Insurer Legal & General said full year pre-tax profits rose 17% to £1.6bn as it reported a strong rise in operating profits from its retirement division.
Adjusted operating profits rose to £1.6bn from £1.4bn. Earnings per share were up 19% at 22.2p. The full year dividend was up 7% 14.35p a share. Net cash increased 12% to £1.4bn.
Retirement unit operating profits jumped to £811m from £641m as the group picked up big pension deals with Rolls-Royce and ICI.
LGIM, L&G's asset management unit reported a 20% increase in assets under management £894.2bn with net inflows of £31.2bn.
“With further political and economic uncertainty anticipated in 2017 and beyond, we expect further market volatility. The risk of slowing global economic activity remains and no business model can be fully immunised,” L&G said.
“However, we believe the opportunities available to the group, primarily in the UK and US, remain attractive.”