Admiral Group shares climb as profits rise

Motor insurer Admiral Group (LON:ADM) saw its shares jump by 4%, to 2,112p on the back of its interim results.

For the six months ended 30^th June 2019, pre-tax profits increased by 4% to £220 million on revenue of £1.76 billion, up by 6% on the comparable period a year earlier. Growth in revenue was driven by increased customer numbers, in particular in its international operations in France, Spain, Italy and the US.

The company added that it has taken a £33 million hit to its profits in relation to the way that personal injury compensation is calculated. The government changed the Ogden rate, which is the rate used to determine how much compensation people who are seriously injured receive.

An interim dividend of 63p per share was issued, up by 5% on a year earlier.