BUSINESS LIVE: IAG profits hit £3bn; Haleon ups sales forecast; LSEG eyes IPO resurgence

A husband was left “devastated” after his wife’s life insurer took £23,000 out of his payout when she died – all because of an honest mistake which meant she paid £253 less towards her policy – or just £1 .98 per month.

Major life insurer AIG only paid out the £23,000 after This is Money intervened, so the issue serves as a warning to policyholders to check their details carefully.

John Moore, senior investment manager at RBC Brewin Dolphin:

‘IAG hasn’t really taken off since the Covid-19 pandemic, with the stock generally where it was during the summer of 2020.

‘But easyJet’s return to the FTSE 100 confirms that conditions are generally more fluid for airlines and today’s results from IAG may be the catalyst its share price needs.

“Profits have increased and the group looks set to generate significant amounts of free cash flow this year, supported by strong reserves for the first half of 2024.

‘However, there are still clouds on the horizon, and aircraft availability and lower demand for routes to and from Asia are likely to be ongoing challenges.

“After a turbulent few years, IAG looks to be in better shape than it has been for some time and shareholders will be hoping that starts to be reflected in the share price.”

London Stock Exchange Group chief executive David Schwimmer has said there is an “encouraging” initial public offering for the exchange, bringing hope to the capital’s listed market after a tycoon few years.

His comments came as LSEG reported total revenue, excluding recoveries, of £8 billion by 2023, up 7.8 percent from a year earlier, and at the top end of a 6 to 8 percent forecast. percent and slightly above the analyst consensus.

Earnings per share totaled 323.9 pence, up 1.9 percent from a year earlier and slightly below the analyst consensus of 328.2 pence.

LSEG is proposing a dividend of 79.3 pence per share added to the interim dividend of 35.7 pence, resulting in a total dividend of 115 pence per share, an increase of 7.5 per cent.

Haleon, maker of Sensodyne toothpaste, has forecast higher revenue in 2024, thanks to strong demand for its household products, which range from painkillers to multivitamins.

Despite the price increases, Haleon’s product slate has kept competition from cheaper private brands at bay as the company prepares for the upcoming flu season.

Haleon said its organic revenue would rise 4 percent to 6 percent this year as the consumer healthcare company reported its first annual results since it was spun off from GSK in 2022.

On average, analysts expect organic revenue to grow 4.5 percent, according to a consensus compiled by the company.

Haleon, however, said its organic revenue growth in the first quarter would be just below the low end of its full-year forecast range, citing a strong last year when a strong cold and flu season, a rebound in China and the performance of the analgesic Advil. in Canada it had raised its results

Jeremy Hunt is expected to confirm plans for the NatWest share sale at next week’s Budget, as a leading broker said a big discount to the price would be key to its success.

The Chancellor said in November he was considering a retail public offering as the Treasury aims to sell more of its 33 per cent stake.

British Airways owner International Airlines Group posted record operating profits of €3.5bn (£3bn) by 2023, almost three times the €1.3bn made in 2022, thanks to recovering travel demand .

The result is higher than its pre-pandemic peak and is in line with market expectations.

The group, which also owns airlines Iberia, Vueling and Aer Lingus, said demand remains strong, particularly among leisure travelers, with the group’s airlines 92 percent booked for the first quarter of the year and 62 percent reserved so far for the first half.

Luis Gallego, CEO of IAG, stated: “In 2023, IAG more than doubled its operating margin and profits compared to 2022, generated excellent free cash flow and strengthened its balance sheet position, recovering capacity to approach pre-2022 levels. Covid 19 in most cases. of its main markets.

“Our airlines operate in the largest and most attractive markets globally and we will continue to invest in our brands to transform the business, improve the customer experience and support the delivery of sustainable growth and world-class margins.”