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Highlights

  • LGEN’s H1FY24 revenue rose 6% to GBP 492 million, driven by higher-margin businesses.
  • Profit before tax dropped 23.9% to GBP 159 million due to investment losses.
  • The company announced an interim dividend to GBX 6.00 for H1FY24, up 5% year-on-year (YoY)
  • The company completed a GBP 200 million share buyback, repurchasing 88.8 million shares at GBX 225.14.

 Legal & General Group PLC (LSE: LGEN) offers financial services. It is a member of the FTSE 100 index.

In the first half of FY24, LGEN’s total revenue increased by 6% to GBP 492 million, compared to GBP 464 million in H1FY23. This growth was driven by a strategic focus on higher-margin businesses, such as Workplace DC and Wholesale, even though average assets under management (AUM) declined during the period.

However, profit before tax dropped 23.9% to GBP 159 million from GBP 209 million in pcp. The decline was primarily due to a GBP 55 million loss from investment and other variances, mostly linked to the mark-to-market effect on the value of balance sheet investments.

Further, the company’s board has proposed an interim dividend of GBX 6.00 for H1FY24, a 5% increase from GBX 5.71 in H1.

Recent Business Update

 On November 11, 2024, LGEN announced the successful completion of its GBP 200 million share buyback program. The company repurchased 88.8 million shares at an average price of GBX 225.14 per share, totaling approximately GBP 200 million.

Company Outlook

LGEN targets mid-single-digit core operating profit growth for 2024. It has made progress in key areas, including establishing a single asset manager and gaining momentum in private markets. Additionally, new funds for affordable housing have been launched. With a strong focus on capital allocation and long-term investment needs, LGEN strives to deliver growth and value to its stakeholders.

Top 10 Shareholders

The top 10 shareholders of LGEN hold around 21.61% of total shares. BlackRock Institutional Trust Company, N.A. is the largest shareholder with approximately 5.06% stake. The Vanguard Group, Inc. follows with about 3.09% shareholding, as shown in the chart below.

Stock Information

 LGEN's stock price has dropped by approximately 1.08% and 11.69% over the past month and past six months, respectively. The stock's 52-week low is GBX 211.40, while its 52-week high is GBX 259.60. As of November 27, 2024, the stock’s closing price is GBX 219.7 which is below the average of the 52-week high low.

Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels is 27 November 2024. The reference data in this report has been partly sourced from EODHD/Others.