Legal costs weigh on AMP

Costs associated with remediation and its simplification strategy put a slight dent in AMP’s half-year net profits, coming in at $98 million.

- Jamie Williamson

Costs associated with remediation and its simplification strategy put a slight dent in AMP’s half-year net profits, coming in at $98 million.

AMP’s results show a 5% drop in interim net profit, largely attributed to $11 million in legal and remediation costs and $21 million spent on business simplification.

The underlying profits came in stronger, rising 9% to $131 million on the back of solid performance across most of its business units.

The New Zealand Wealth Management business saw the biggest jump in underlying profits, up 11.8% to $19 million. This was followed by Platforms which rose 7.4% to $58 million, and AMP Bank which had a 2.9% rise in profit to $36 million.