Comparator iSelect’s insurance business reported improved full-year earnings, supported in part by higher online car insurance sales.

The general and life segment posted $9.07 million in earnings before interest, tax, depreciation and amortisation (EBITDA) for the year to June 30, up 7% from the prior 12-month period. iSelect does not provide a breakdown for general and life financial results.

“The year-on-year EBITDA improvement can be attributed to increase in the online sales in general insurance and the improved economics of the new life insurance model,” iSelect said.

It says operational performance remained “strong” with a greater percentage of sales being completed via its online channel.

For car insurance, online sales increased to 40% of sales mix from 23% a year earlier, indicating further opportunity for growth, iSelect said.

The comparator’s overall underlying EBITDA fell 52% to $9.9 million as revenue declined 16% to $93.1 million and underlying net profit tumbled 94% to $1.8 million.

iSelect also provided an update on the proposed takeover by shareholder Innovation Holdings Australia (IHA).

The comparator says the Scheme Implementation Agreement signed last month, whereby IHA will acquire all of the shares in iSelect that it does not currently own, is anticipated to complete between December and next March as previously indicated.

“The Scheme provides an opportunity for shareholders to realise a significant premium to market value for their shares at the time of offer and provides the certainty of an all-cash offer,” the business says.

“As we begin FY23, iSelect looks forward to a new chapter following the unanimous recommendation from the board that shareholders accept an offer from [IHA] to acquire full ownership of the iSelect business.”

IHA and its associates already hold a 26% interest in iSelect, and is a subsidiary of IHA Group. IHA Group owns rival comparator Compare the Market and Auto & General, which primarily operates under the Budget Direct brand.

IHA’s latest acquisition bid comes after it aborted moves to acquire iSelect in 2020, due in part to covid-related uncertainties.