Old Mutual (OML) is emerging from a root and branch restructuring that began in 2010 and the new model is already beginning to deliver results. Along the way, the life assurer and wealth management group sold its Nordic operations for £2.1bn, as well as its US life business for $350m (£232m), to leave a more streamlined and de-risked operation. Finances have improved, too, with £2.25bn of free cash generated in the last three years - helping to reduce gearing from 2009's 20.1 per cent to 8.5 per cent.
Adjusted operating pre-tax profit rose 18 per cent to £1.61bn on an IFRS basis and, after adjusting the previous year's figures for disposals, net client cash flow rose from £0.9bn to £6.1bn. Moreover, a positive non-banking investment return of £9.52bn helped to lift funds under management by 3 per cent to £262.2bn - although comparatives were clouded by disposals during 2012 and 2011.