article with 3 playbuzz widgets
Tuesday 15 June 2021 10:25, UK
article with 3 playbuzz widgets
Saga said it was facing "increasing challenges", especially in the competitive car and home insurance markets and that it was launching a "fundamental change" to its strategy.
The stock was down by 37% in early trading after it also slashed its dividend and warned on profits for the current financial year.
Saga reported a 5% fall in underlying profits to £180m for the year to the end of January but a £310m accounting charge relating to the value of its insurance business pushed it into the red.
It added that factors including a squeeze on margins in its insurance business - where it has become increasingly reliant on price comparison websites - and investment in new products meant it now expected an even bigger fall in underlying profits for the current year to £105m-£120m.
It added that factors including a squeeze on margins in its insurance business - where it has become increasingly reliant on price comparison websites - and investment in new products meant it now expected an even bigger fall in underlying profits for the current year to £105m-£120m.
