Prudential 3Q group sales up 10 pc

LONDON: Prudential PLC, Britain's largest life insurer, said Wednesday that third quarter retail sales grew 10 per cent to 699 million pounds ($1.14 billion) as its Jackson National Life Insurance unit in the United States set a hot pace with a 66 per cent gain.

The figure was well ahead of analysts' consensus of 653 million pounds.

The strong third quarter put retail sales up 3 per cent to 2.0 billion pounds for the first nine months. Wholesale revenue doubled to 3 million pounds in the first nine months.

Jackson's sales of 249 million pounds in the third quarter was the best three-month figure in the company's history, Prudential said. For the nine months, Jackson's sales are up 51 per cent.

Jackson is headquartered in Lansing, Michigan, but sells annuities and life insurance through brokers in all 50 states.

Prudential did not report earnings figures for the third quarter. The company's shares were down 0.7 per cent a 606 pence in early trading on the London Stock Exchange.

Barrie Cornes, analyst at Panmure Gordon & Co, rated Prudential a ``buy'' with a target price of 732 pence.

``The (company's) outlook statement is realistic suggesting things will remain tough for a while but stating, and we agree, that Pru is well positioned to take advantage of the recovery as and when it occurs,'' Cornes said.