Business
2021 Half Year Results
2021 Half Year Results.
About this update from Standard Life Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 2251I\n Phoenix Group Holdings PLC\n 11 August 2021\n \n \n \n \n Phoenix Group delivers a strong H1 performance - £872m of cash generation, a resilient balance sheet and increased new business LTCG\n \n \n \n \n \n Financial highlights\n \n \n \n \n \n Delivering cash\n \n \n · \n Strong cash generation1 of £872m in H1 2021 (H1 2020: £433m) has more than doubled reflecting the scale of the enlarged Group; on track to deliver at top end of £1.5bn-to-£1.6bn target range for FY 2021.\n \n \n · \n Interim dividend of 24.1p per share declared (2020 interim: 23.4p per share).\n \n \n \n \n \n Delivering resilience\n \n \n · \n Resilient balance sheet reflected in a Solvency II surplus of £5.1bn\n \n 2\n \n as at 30 June 2021 (31 December 2020: £5.3bn3) following a £0.2bn debt repayment in March 2021.\n \n \n · \n Shareholder Capital Coverage Ratio2,4 of 166% as at 30 June 2021, comfortably within the Group's target range of 140%-to-180% (31 December 2020: 164%).\n \n \n · \n Leverage ratio5 of 28% as at 30 June 2021 is within target range of 25%-to-30% (31 December 2020: 28%).\n \n \n \n \n \n Delivering growth\n \n \n · \n £412m of new business long-term cash generation comprises £206m completed in H1 2021 and a further £206m subsequently completed in July 2021 through an additional c.£1bn buy-in tranche of the Pearl Pension Scheme (H1 2020: £358m6).\n \n \n · \n Capital strain on all BPA new business reduced to 6% (FY 2020: 8% external deals and 12% Pearl Pension Scheme) reflecting expected efficiencies from internal model harmonisation.\n \n \n \n \n \n Other key financial metrics\n \n \n · \n Group operating profit of £527m in H1 2021 (H1 2020: £361m).\n \n \n · \n Assets under administration of £304bn as at 30 June 2021 (31 December 2020: £338bn) due to the planned disposals of the Wrap SIPP, Onshore Bond and TIP products to abrdn plc and of Ark Life7.\n \n \n \n \n \n Continuing to deliver on our strategic priorities\n \n \n · \n Acquired and now taken ownership of the Standard Life brand, which will be invested in to support future growth.\n \n \n · \n Maximising shareholder value from our European operations through the sale of Ark Life for a total cash consideration of €230m (£197m8) equating to 0.91x Solvency II Own Funds.\n \n \n · \n Fitch credit rating up...