Financial services group AMP Limited (ASX: AMP) has reported a 5% drop in interim net profit, citing litigation and restructuring charges as the key drag on its bottom line.
Net profit for the six months ended June 30, 2025, came in at A$98 million, down from A$103 million in the previous corresponding period. The company attributed the result to A$11 million in litigation-related expenses and A$21 million in costs tied to business simplification. The earnings fell short of analysts’ forecasts.
Excluding one-off costs, underlying profit rose 9% to A$131 million, buoyed by performance in the platform business, AMP Bank, and the New Zealand Wealth Management division. Superannuation and investments delivered flat underlying earnings for the half.
Total revenue declined 3.5% year-on-year to A$1.38 billion.
“These results highlight our continued discipline and delivery of the strategy and our pivot towards growth,” AMP chief executive Alexis George said.
“We are building on the strong cashflow momentum in our wealth businesses, while maintaining disciplined growth in bank lending as we expand our new digital offer, AMP Bank GO.”
George noted that improving cashflows were underpinned by stronger net inflows from both existing and new advisers, alongside better results in superannuation and investment flows.
Assets under management reached A$153.9 billion at the end of the half, aided by market movements and improved cashflow. Controllable costs fell 4.4% to A$303 million.
Platform business underlying profit lifted 7.4% to A$58 million. AMP Bank posted a modest profit increase to A$36 million, reflecting higher-margin lending growth tempered by investment in AMP Bank GO.
AMP will pay a 2-cents-per-share interim dividend, 20% franked.