(23 February 2010 – Australia) Challenger Financial Services Group has reported a 9.4 percent increase in its first-half net profit.Challenger’s first-half net profit was A$176.7 million, compared to a loss of A$107.9 million a year earlier. The group reported a loss last year due to the steep declines in the value of its investments during the global financial crisis.
Normalised net profit rose 9.4 percent to A$115.9 million from A$105.9 million in the prior corresponding period.
The group, who sold their mortgage management business to NAB in August, said that it expects cash operating guidance for its life business to be A$325 million in 2009-2010, up from a prior guidance of A$300 million.
Revenue from ordinary activities was A$911.7 million, down from A$928.7 million in the prior corresponding period.
Challenger declared an interim dividend of 6 cents, up from 5 cents a share last year.