Cost target raised

Standard Life Aberdeen warns of turbulence as profits fall

Keith Skeoch

Keith Skeoch: turbulence

Standard Life Aberdeen reported a fall in profits and revenue following outflows of funds and has warned of growing turbulence.

Adjusted profit before tax for the year came in at £584m, down 10% largely reflecting lower revenue.

Fee based income was £1.6 billion, down 13% reflecting impact of net outflows in 2018 and 2019.

The company now expects to deliver £400m of annualised synergies – £350m by end of 2020 and an additional £50m during 2021, at a total cost of £555m.

It has a strong surplus capital position of £1.7bn continues to support investment in the business and shareholder returns.

Keith Skeoch, chief executive, said the industry was dealing with turbulence made more complex by the coronavirus outbreak.

“We have seen growing momentum in the second half of the year across the business with improved investment performance and flows. We remain on track to deliver targeted synergies and have identified more we can deliver as we continue to reshape the business and sustain resilience.

Leave a Reply

Your email address will not be published. Required fields are marked as *

This site uses Akismet to reduce spam. Learn how your comment data is processed.