(Alliance News) - Just Group PLC on Thursday said 2022 retirement income sales were up, particularly in defined benefit de-risking, while it was confident of achieving its full-year guide for underlying operating profit growth.

The Surrey, England-based financial services group on focusing on the UK retirement income market said 2022 retirement income sales were up 17% to GBP3.13 billion from GBP2.67 billion a year earlier, including a 33% rise in defined benefit de-risking sales to GBP2.57 billion from GBP1.94 billion.

Sales relating to guaranteed income for life, including care, fell 24% to GBP564 million from GBP739 million.

Just Group said it completed 56 transactions during 2022, up from 29 a year earlier, which it attributed to its proprietary bulk quotation service and repeat business.

It expects this strong growth momentum to continue into 2023.

It said its new business strain was around 2%, outperforming its guidance.

As a result, Just Group said it was confident of achieving its full-year guidance for underlying operating profit growth, citing the increase in interest rates as boosting in-force profits but leading to a lower new business margin.

"Our performance in 2022 has further added to our confidence in Just's ability to deliver 15% growth in underlying operating profit per annum, on average over the medium term," it said in a statement. "This is underpinned by our successes in a growing DB market, strong pricing discipline and risk selection, and our increasing illiquid investment origination capabilities."

Chief Executive David Richardson added: "Over the last three years we have delivered 18% average sales growth per annum, demonstrating the strength of our new business model as we take advantage of our differentiated market positioning.

"We have significant untapped potential and a tremendous opportunity to achieve further material growth in the rapidly expanding DB market.

"This excellent level of growth has been achieved whilst delivering continued outperformance in new business capital strain, which, together with our robust capital position, allows us to take advantage of the structural growth opportunities available to us."

Just Group will release its annual results on March 7.

Shares in Just Group were up 1.6% to 84.60 pence each in London on Thursday morning.

By Greg Rosenvinge, Alliance News reporter

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