London - Anglo-South African financial services firm Old Mutual posted a 9% drop in first-half operating profit to 709 million pounds ($922.34 million) on Thursday and said conditions were challenging in its core markets.
Analysts in a company-supplied poll had forecast adjusted operating profit of 769 million pounds.
Old Mutual, which has said it plans to break itself up into four parts, said net client cash flows fell 13% in constant currency terms to 3.5 billion pounds, against a forecast 5 billion, though funds under management were in line with forecast at 342 billion.
“An uncertain environment continues in our three largest markets of South Africa, UK and US which may lead to further challenges,” the firm said in a statement.
The firm said it would pay a first interim dividend of 2.67 pence per share.
REUTERS