Key facts
- Admiral's profit before tax dropped 18% to £429.2m in the first half of the year.
- Turnover was flat at £3.11bn.
- The company increased prices to counter claims inflation.
- Electric vehicle insurance saw a 27% rise in its book.
- The European business moved to a profit of £17.2m from a loss.
- Customer numbers surpassed 12 million for the first time.
Admiral's profit before tax declined by 18% to £429.2m in the first half of the year, primarily due to lower earned premiums in its UK car insurance business. The company's turnover remained flat at £3.11bn.
Group chief executive Milena Mondini stated that the market was soft in late 2024 and 2025, leading Admiral to increase prices at the start of the current year to align with claims inflation. She anticipates this strategy will yield positive results in the latter half of the year.
The insurer's motor division saw a 27% increase in its electric vehicle (EV) insurance portfolio, alongside growing demand for its complimentary EV ownership cost assistance service. Mondini highlighted Admiral's competitive stance on EVs, citing their environmental benefits.
Admiral's European operations showed a significant turnaround, swinging to a profit of £17.2m from a £0.6m loss in the prior year, with France noted for strong margins and double-digit growth. Overall customer numbers rose by 5%, exceeding 12 million for the first time.
In early trading on Thursday, Admiral shares increased by 4.4%. Senior equity analyst Matt Britzman commented that while the headline profit decline reflects softer motor pricing from the previous year, the company is navigating the market cycle effectively. He also noted positive contributions from Admiral's Household, Europe, and Admiral Money divisions, suggesting a clearer path to growth and improved performance in 2027.