SHOULD LEGAL & GENERAL BE DISAPPOINTED BY ITS LATEST RESULTS?
BARRY CORNES PANMURE GORDON
“Whilst the sales figures look slightly disappointing the year end cash generation target of £450m has already been exceeded with £461m at 30 September. The capital surplus increased further to £2.5bn compared to the last published figure of £2.4bn at the end of August.”
JAMES HUGHES CMC MARKETS
“Overall the sales figures aren’t very good. Legal & General have pointed out that they’ve reached their cash figures three months early. But the overall picture seems to be of disappointing sales with the better figures coming from a 10 per cent cut in the workforce and cost cutting.”
DAVID BUIK BCG PARTNERS
“Legal & General faces the same difficulty as all insurers in that in the past they have relied on pension fund contributions. These are now in very short supply and correspondingly that shows in the share price and results. It’s hard to see an upturn coming in the next year.”