AMP’s aim is to become a pre-eminent retirement specialist and a leading digital bank, after it exited the advice business late last year, it said in its latest financial results on Friday.
AMP reported a 43 per cent reduction in statutory net profit after tax (NPAT) from $265 million to $150 million in full-year 2024, on the back of business simplification costs and the sale of its advice division.
The firm’s underlying NPAT was boosted by 15.1 per cent to $236 million. Specifically, the company’s platforms saw an 18.9 per cent rise in underlying NPAT to $107 million, while superannuation and investments posted a 26.4 per cent increase, reaching $67 million, driven by positive market conditions, reduced variable costs and improved cash flows.
Net cash outflows (excluding pension payments) hit $1 billion in superannuation and investment as “a result of resilient inflows and a focus on retention”. The figure was a notable improvement on FY2022–23 outflows of $6.4 billon which had been impacted by mandate losses.
AMP’s banking division recorded a 22.6 per cent decrease in underlying NPAT to $72 million, impacted by ongoing management of volumes and margin while developing its new digital bank.
“2024 was another year of strategic delivery for AMP as we build positive performance momentum and focus firmly on growth,” AMP chief executive Alexis George said.
“We sold and transitioned the advice business, hit cost targets and completed our $1.1 billion capital return program. Our wealth businesses are competing strongly in their chosen markets, driving positive performance, and we’re launching new offers including digital advice.”
Following the divestment of advice to AZ NGA and Entireti, AMP said it is positioning itself to become a leader in retirement, capitalising on trends such as the growing superannuation assets, ageing population and high household wealth. With a total addressable super and investment market valued at $4.1 trillion, the firm aims to benefit from these opportunities.
“Having successfully completed the advice transaction in December 2024, AMP is positioned to drive growth and build on opportunities in our wealth businesses to become a pre-eminent retirement specialist, and as a leading digital bank,” George said.
AMP declared a final dividend of 1.0 cent per share, 20 per cent franked, taking the full-year dividend to 3 cents per share.
