Major institution withdraws earnings guidance

A major institution has withdrawn its previous profit guidance in the wake of the COVID-19 pandemic.

In an update to the market released on Thursday, AMP said that “due to the uncertain environment and resultant challenges in providing accurate forecasts for this year”, it was withdrawing its profit guidance for the 2020 financial year provided in February.

However, it confirmed despite the “challenging” environment, the group was still on track to finalise the sale of AMP Life by June, with client remediation for advice customers to be 80 per cent completed by the end of the 2020 financial year.

“AMP also welcomes measures announced to date by the federal government, Reserve Bank of Australia and regulators to support individuals, businesses and the wider community through the period of disruption caused by COVID-19,” the group said.

“AMP continues to implement its business continuity plans to ensure its services remain available to clients.”

AMP chief executive Francesco De Ferrari said the company had taken “decisive action to support our clients and people, while working to maintain the strength and resilience of our business”.

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“Whilst the situation is rapidly evolving, our immediate priorities are to support the public health efforts, help our clients make the right choices, and ensure our people are safe and working in healthy environments,” Mr De Ferrari said. 

“Protocols and contingency plans are also in place to ensure our operations and client services can continue throughout the pandemic.

“Our group balance sheet and liquidity remain strong and we are confident in our ability to support clients in this time of need.”

Major institution withdraws earnings guidance
AMP
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