Prudential reports 27% rise in sales

by Gill Montia

Story link: Prudential reports 27% rise in sales

In a trading update published ahead of today’s Annual General Meeting, Prudential has reported group-wide sales of £1,355 million for the first five months of 2010, up 27% on a year earlier.

The insurer saw Asian sales rise 33%, to £579 million, and achieved record retail sales in the US of £454 million, up 41% year-on-year.

In the UK, the group registered 4% growth in sales, to £322 million.

Furthermore, sales in the months of April and May 2010 increased 28%, exceeding the 26% growth reported in the first quarter of the year.

The results may go some way to offset the criticisms levelled at Pru’s group chief executive, Tidjane Thiam, after the failure of the company’s bid for AIA, the Asian business of American International Group.

Mr Thiam’s future with Prudential has been uncertain since the proposed acquisition was abandoned last week, after leading Pru shareholders demanded a review of the $24.6 billion asking price.

Commenting on today’s figures, Mr Thiam says: “Our strategy to focus capital on the most profitable geographies and products is delivering excellent results.”

Adding: “Throughout the period of our proposed transaction with AIA, our businesses continued to perform strongly … all of our businesses have a strong momentum and we will continue to focus on delivering shareholder value.”