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Professional Services

Moneysupermarket's parent company MONY reports revenue drop amid weak broadband demand

The price comparison company said low demand for broadband and fewer smartphone launches meant revenue from home services fell eight per cent. Revenue from travel was 15 per cent lower due to lower conversion in car hire

Moneysupermarket office(Image: Daily Post Wales)

Moneysupermarket's parent company has reported a slight two per cent decline in revenue to £112.9m for its third quarter, with travel and home services sectors impeding growth.

The price comparison firm which is based in Flintshire, Wales, noted that a decrease in demand for broadband and a reduction in smartphone launches contributed to an eight per cent drop in home services revenue. Travel revenue also dipped by 15 per cent, attributed to lower car hire conversions, as reported by .

Despite these setbacks, marginal gains were seen in the insurance and cashback divisions, which experienced growth of one and two per cent respectively.

In a strategic move earlier this year, the group underwent rebranding in May, changing the name of its corporate holding from Moneysupermarket to 'MONY'.

Following the trading update, Mony's shares fell by 3.7 per cent on Wednesday morning.

Peter Duffy, MONY's chief executive, commented: "We delivered a solid financial performance in the quarter, in line with our expectations, while lapping the very strong performance last year."

He added: "I am also pleased with our continued strategic progress, especially in the SuperSaveClub which continues to grow with momentum, now reaching over 750,000 members."

The Supersaveclub of Moneysupermarket surpassed the 500,000-member mark in July, having only had 300,000 in April of this year.