Moneysupermarket declines

Moneysupermarket.com announced revenue down 23% to £136.9m (£178.8m) and its adjusted EBITDA (pre-tax profit) down 26% to £36.0m (£48.4m)

It said insurance improved in the second half of the year after its decline in the first half. Insurance revenue dropped 3% to £75.7m from £77.7m but made up 55% of revenues instead of 44%. Insurance visitors were down 3% and transactions down 14%.

It said the motor insurance comparison market remains the most competitive market in which the group currently operates. Revenue was approximately 5% lower in the motor insurance channel for the year as a whole although revenue in the second half grew marginally.

“The Group concentrated on the profitable online and offline acquisition and retention of customers during the year rather than focusing exclusively on market share. Revenues in the other insurance channels, including home insurance, travel insurance and life insurance, were all ahead of last year.”

Challenging period

Peter Plumb, chief executive officer, said: "Moneysupermarket.com has managed itself well through a very challenging period. We have strengthened the Group's market-leading position, while at the same time cutting costs and positioning the business for the next phase of growth.

"We had two priorities coming in to 2009, which we have successfully achieved. The first was to realign the business with the new economic reality. The second was to begin investing for growth, focusing on site and brand innovation and leveraging our deep insight into our customer base.

"We are confident that there is strong growth potential in all our markets and that we are well-placed to capitalise on this. We start the year with a strengthened executive team who will oversee our targeted investment programme.

New sites launched

“We have launched new sites in vouchers, car insurance and credit cards. More customers have joined our data base - and they are now able to search a site which has 120 additional providers than a year ago.

“We have started a new advertising campaign which has led to our highest ever levels of unprompted brand awareness.

"Our customers are telling us that they are facing a tough year and are cautious, particularly for borrowing, but that their appetite for searching on line for the best deals is stronger than ever before.

"We expect the economy to remain challenging, but I am confident that our clear strategy, as well as the investments we have made, position us well for the future."