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Membership drive puts AA back in the black

Published 28/09/2016

The AA said paid personal members grew in every month in the second quarter to 3.3 million (AA/PA)
The AA said paid personal members grew in every month in the second quarter to 3.3 million (AA/PA)

The AA has driven back into profit after the breakdown service said it has reversed a decline in falling membership numbers.

The group said pre-tax profits came in at £48 million for the first half of the year, compared with a £69 million loss in the same period last year.

AA said paid personal members grew in every month in the second quarter to 3.3 million, reversing a trend of falling numbers.

Chief executive Bob Mackenzie said: "We are extremely encouraged by the reversal of the decline in paid personal members over the last few months. The marketing strategy is achieving a significant impact on new business, and we are continuing to improve customer experience through digital innovation."

Revenue rose 2.2% to £467 million and Mr Mackenzie brushed aside any Brexit fears, adding: "Overall the performance of the business has been robust in the first half and we continue to trade in line with expectations.

"To date we see no impact on our operations from any Brexit-related issues and, as we look forward, we believe we are creating significant momentum for the 2018 financial year."

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