Saga on track despite insurance difficulties

Over-50s holidays and financial products group Saga has said it remains on track to hit targets after an in-line start to its financial year, despite ongoing challenges in the insurance market.

The company said it was taking actions to "stabilise" the broking business and is seeing early signs of expected benefits in motor. However, emerging net rate inflation in the home insurance business means its actions are expected to have "less of an impact overall".

In the ocean and river cruise divisions, Saga said it had an "exceptional start" to the financial year which began on 1 February, with booked load factors at 83% and 78% respectively – both up on last year.

Meanwhile, travel books are also higher than last year with booked revenue up 14%.

The company said it was continuing to explore "partnership opportunities" within the Ocean Cruise and insurance businesses, looking to "support our growth ambitions, crystallise value and enhance long-term returns for shareholders".

"Saga has made a good start to the new financial year," said chief executive Mike Hazell. "Looking ahead, we are focused on driving sustainable business growth in a capital-light way, while growing our customer base and deepening our connections with those customers."