PRUDENTIAL rebuilt bridges with its shareholders today by announcing a 20% jump in its dividend alongside better-than-expected annual profits.
The insurer’s boss Tidjane Thiam faced calls to quit last year after the Pru lost £377 million on a failed bid to land the Asian arm of US giant AIG.
Mr Thiam survived the furore and today announced that the Pru’s existing Asian operations helped power a 24% rise in operating profits to £1.9 billion.
The performance and confidence in future growth prompted Pru to rebase its dividend and increase the pay-out for 2010 by 20% to 23.85p a share.
Prudential shares jumped 3% today following the results.
Richard Hunter, head of equities at Hargreaves Lansdown stockbrokers, said: "This expression of future confidence in prospects should help to mollify shareholders upset by the distraction of the failed AIA approach last year.
"The company is now committed to promoting value over volume in its chosen markets, where the likes of the US and UK should complement the success story in Asia."
