AMP Profit Lifted by Continued Wealth Management Growth

   By Robb M. Stewart 
 

MELBOURNE, Australia--AMP Ltd. (AMP.AU) said Thursday its profit rose 10% last year, driven by continued growth in its wealth management business and an expansion of its international investment management operation.

Net profit rose to 972 million Australian dollars (US$691.3 million) in 2015 from A$884 million the year before, the financial services firm said.

Underlying profit--which strips out one-time costs and the impact of some investment-market volatility, and is used by the company to determine its dividend--was 7% higher at A$1.12 billion, in line with the A$1.11 billion median of six broker forecasts compiled by The Wall Street Journal.

The company's board plans to pay a final dividend of A$0.14 a share, up 4% on a year ago, for a full-year payout of A$0.28.

Chief Executive Craig Meller said it was a good performance against a backdrop of challenging markets in the second half of the year, momentum maintained across its Australian wealth management and AMP Capital divisions.

The company said earnings from its Australian wealth management operations rose 10% to A$410 million for the year, driven by 10% growth in assets under management. However, operating earnings for its Australian wealth protection business eased 1.6% to A$185 million, it said.

AMP Capital recorded a 20% jump in operating earnings and improved net cashflows, boosted by a rise of more than A$2 billion in funds managed on behalf of international institutional clients to A$6.8 billion, the company said.

Write to Robb M. Stewart at [e-mail]

(END) Dow Jones Newswires

February 17, 2016 16:15 ET (21:15 GMT)

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