Chesnara ups dividend as profits rise

28th Aug 2015 11:26

(ShareCast News) - Pension management firm Chesnara upped its interim dividend as first half profits rose from £30.4m to £27.4m.The company's profit figures were by boosted by a gains of £16.2m for the €69.9m acquisition of Dutch firm Waard group, which was completed in May.Chesnara recommended an increased interim dividend for the eleventh time in a row, up by 3% to 6.61p from 6.42p.Total revenue was down to £249m from £274m, while Chesnara's solvency ratio was at 271% from 284% the year before.Canaccord Genuity reiterated a 'buy' recommendation and held a target price of 380p.Analyst Ben Gordon said it had been a strong quarter despite headwinds, and said the company's size, financing capability and track record means it would expect earnings value to build over time.Shore Capital analyst Eamonn Flanagan said the result was broadly as it expected, and reiterated its 'hold' rating and price target of 347p.Shares were up slightly, by 0.58% to 349p at 1132 BST.