MMH expects big jump in earnings
Momentum Metropolitan Holdings was the only one of its peers to report an increase in profits in March, when rivals decried the negative effects of a weak JSE performance on their financial results
SA’s fifth-largest life insurer, Momentum Metropolitan Holdings (MMH), is once again expecting to outshine its peers when it reports full-year earnings in September, thanks to healthy underwriting results and a better JSE performance in the year to end-June.
MMH was the only one of its peers to report an increase in profits in March, when rivals decried the negative effects of a weak JSE performance on their financial results.
MMH said on Friday it expected headline earnings to increase by between 65% and 85%, while diluted normalised earnings, which strip out the prior year’s once-off events, will rise by between 45% and 65%.
MMH is reporting full-year results at a time when rivals are releasing half-year numbers.
Based on its rivals’ trading updates, MMH could again outshine the likes of Sanlam and Old Mutual.
Old Mutual said on Thursday its interim headline earnings would fall by between 33% and 36%, while Sanlam said its earnings would be down by between 25% and 35% compared to the first six months of 2018.
Liberty, the only insurer that has already presented its interim results, posted a 51% jump in headline earnings for the six months to end-June.