Insurer Old Mutual posted a 12 per cent drop in first-half operating profit, as the weak rand and US dollar dampened the impact of rising sales.
South Africa's largest insurer said pretax operating profit, on a European embedded value basis, totalled £782 million, missing an average forecast of £850 million.
Old Mutual had warned of currency headwinds and of the dampening impact of integration costs in Europe, investment in the Nordic division and stronger mortality assumptions in the United States.
First-half life assurance sales, on an annual premium equivalent basis, rose 10 per cent to £859 million.
Funds under management rose 11 per cent to £263 billion at the end of March, putting the group on track to meet its target of £300 billion by the end of 2008.
Old Mutual raised its interim dividend 10 per cent to 2.30 pence per share.