SAGA PLC AGM Trading Update (0648S)

TIDMSAGA

RNS Number : 0648S

SAGA PLC

21 June 2018

21 June 2018

Saga plc

("Saga" or "the Group")

AGM Trading Update

Saga plc, the UK's specialist in products and services for people aged 50 and over, announces a trading update for the period from 1 February to 31 May 2018, ahead of its Annual General Meeting at its headquarters in Folkestone today at 11.00am.

We have traded in line with our expectations for the first four months of the year. The Group's targeted investment in customer growth is driving both our Saga branded policy count and cruise bookings.

Trading summary

 
   --   Saga branded retail insurance policies increased 
         by approximately 1% year on year, supported 
         by 30% and 14% growth in motor and home new 
         business policies, respectively. Total retail 
         insurance policies for the period are flat 
         as a result of our decision to close the 
         Direct Choice brand in 2017. 
   --   The motor and home markets remain competitive. 
         However, we continue to write new business 
         on attractive terms with our direct marketing 
         channels representing the majority of our 
         new business volumes. 
   --   Our Underwriter continues to perform well. 
         Our motor claims costs are in line with our 
         expectations despite the snow and icy weather 
         conditions experienced during the period 
         as our customers are able to defer journeys. 
   --   Tour bookings for 2019/20 departures are 
         flat year on year with recent positive momentum. 
   --   Bookings for our new cruise ship, Spirit 
         of Discovery, are now over 55% of our sales 
         target for the first 9 months from June 2019, 
         at attractive yields. 
   --   Possibilities, our new membership scheme, 
         now has 740,000 members, as at 17 June 2018. 
 

Lance Batchelor, Chief Executive Officer, said:

"We have seen good momentum this year across our travel and insurance businesses, particularly in new motor and home insurance policies, underwriting performance and bookings for our new cruise ship, Spirit of Discovery. All of this underpins our confidence that we have put in place the right investment to drive the Saga business forward."

The Group's interim results will be announced on 27 September 2018.

ENDS

Saga plc

   Mark Watkins, Director of Investor Relations                     Tel: [phone] 

Email: [e-mail]

MHP

   Tim Rowntree/Simon Hockridge/Reg Hoare                       Tel: [phone] 

Email: [e-mail]

Notes to editors

Saga is a specialist in the provision of products and services for people aged 50 and over. The Saga brand is one of the most recognised and trusted brands in the UK and is known for its high level of customer service and its high quality, award winning products and services including cruises and holidays, insurance, personal finance and publishing. www.saga.co.uk

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June 21, 2018 02:00 ET (06:00 GMT)