Standard Life (SDLF) H1 2025 earnings summary

Executive summary

• Achieved strong progress on strategic priorities, driving profitable growth in Pensions and Savings and Retirement Solutions, with continued cost-saving initiatives and recurring management actions.

• On track to deliver 2026 financial targets, including £5.1bn total cash generation, c.£1.1bn IFRS adjusted operating profit, and c.30% Solvency II leverage ratio.

• Regulatory and demographic tailwinds support a structurally growing UK retirement savings and income market, positioning the group for further momentum.

• Announced intention to rebrand as Standard Life plc in March 2026 to unify brand and strategy.

• Strategic execution is enabling strong shareholder returns, supported by a progressive and sustainable dividend policy.

Financial highlights

• Operating cash generation up 9% to £705m; total cash generation £784m.

• IFRS-adjusted operating profit up 25% to £451m; pensions and savings profit up 20%, retirement solutions up 36%.

• Solvency capital coverage ratio increased to 175%; leverage ratio improved to 34%.

• Interim dividend per share increased 2.6% to 27.35p.

• IFRS loss after tax narrowed to £156m from £646m in prior year.

Outlook and guidance

• On track to deliver all 2026 financial targets, including mid-single digit annual OCG growth, £5.1bn total cash generation (2024-26), and £250m annual run-rate cost savings by 2026.

• Continued focus on organic growth, digital transformation, and cost efficiency.

• Excess cash generation supports deleveraging and future capital allocation to highest returning opportunities post-2026.