DGAP-News: Allianz SE / Key word(s): Quarter Results
Allianz SE: Allianz weathers heavy natural catastrophes
12.05.2011 / 06:59
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*Quarterly revenues of 29.9 billion euros, second highest ever
*Operating profit at 1.66 billion euros
*Quarterly net income of 915 million euros
*Strong solvency ratio of 180 percent
*Operating profit target for 2011 confirmed
Allianz Group today reported solid results for the first quarter of 2011
amid a challenging environment and severe natural catastrophe events. Total
quarterly revenues of 29.9 billion euros remained strong, amounting to only
2.2 percent below the record level of 30.6 billion euros in the first
quarter of 2010.
Operating profit amounted to 1.66 billion euros, compared to 1.73 billion
euros in the previous year's first quarter. This represents a decrease of
just 4.2 percent, despite one of the highest quarterly natural catastrophe
losses in two decades. Last year's first quarter had already been impacted
by a higher-than-usual level of natural catastrophes.
All three business segments contributed to a quarterly net income of 915
million euros, compared to 1.6 billion euros in the first quarter of 2010.
In addition to natural catastrophes, a deliberate reduction of capital
gains and a higher tax ratio contributed to this development.
Allianz Group's capital position remains strong with a solvency ratio of
180 percent. This is 7 percentage points higher than the year-end 2010
solvency ratio of 173 percent. Shareholders' equity amounted to 43.6
billion euros as of March 31, 2011, or 2.1 percent lower than 44.5 billion
euros at the end of 2010.
Despite the difficult operating environment Allianz remains on track to
reach its operating profit target for 2011 of 8.0 billion euros, plus or
minus 0.5 billion euros.
Property-Casualty segment resilient despite natural catastrophe impact
In the Property and Casualty insurance business, gross written premiums in
the first quarter increased by 1.8 percent to 14.3 billion euros, compared
to 14.0 billion euros in the first quarter of 2010.
Operating profit amounted to 663 million euros. This is 6.9 percent lower
than the 712 million euros in the first quarter of 2010. Expenses from
natural catastrophes amounted to 737 million euros for the quarter. Of that
figure, 697 million euros were reserved to cover the events in Australia,
New Zealand and Japan. In the first quarter of 2010, expenses for natural
catastrophes amounted to 555 million euros.
The combined ratio of 101.3 percent compares with 100.4 percent in the
first quarter of 2010. Natural catastrophes contributed 7.6 percentage
points to the combined ratio after 5.9 percentage points in the first
quarter of 2010.
Oliver Bäte, Chief Financial Officer of Allianz SE: 'For Allianz, the past
quarter took one of the hardest hits from natural catastrophes of any
quarter in the last two decades. However, this effect was partly offset by
operating improvements in several core markets, positive price effects on
renewals and stable investment income.'
Life and Health insurance results on track
In Life and Health insurance, statutory premiums amounted to 14.3 billion
euros. Compared to the record 15.4 billion euros in the first quarter of
2010, revenues decreased by 7.1 percent, but net inflows still reached 1.7
billion euros. Statutory premiums in the first quarter of last year
included positive one-off effects especially in France, Italy and Taiwan.
Operating profit amounted to 702 million euros, compared to 835 million
euros in the first quarter of 2010. The 15.9 percent decrease was largely
due to a lower investment result compared to the same period of last year.
Oliver Bäte: 'We are on track in the Life/Health segment, despite
challenges such as tough competition in France, Italy and the Asia-Pacific
region and exchange rate effects based on the strong euro. This quarter's
operating profit keeps us at the upper end of our target range for the full
year.'
Asset Management growth continues
In Asset Management, revenues continued to grow strongly. Net fee and
commission income rose by 14.5 percent to 1.26 billion euros, compared to
1.10 billion euros in the same period of last year. Operating profit grew
by 13.3 percent to 528 million euros from 466 million euros in the first
quarter of 2010.
The cost income ratio of 58.5 percent remained close to 58.2 percent in the
same period of last year.
Third-party assets under management grew to 1.138 trillion euros as of
March 31, 2011 from 1.023 trillion euros as of March 31, 2010.
Oliver Bäte: 'Strong organic growth in Asset Management continues.
Third-party net inflows amounted to nearly 14 billion euros. Revenues and
operating profit are outstanding. The cost income ratio demonstrates our
ability to grow our business profitably.'
Allianz Group - Key figures 1st quarter 2011
1Q 2011 1Q 2010*
Total revenues [Euro bn] 29.9 30.6
Operating profit / loss [Euro mn] 1,660 1,732
Property-Casualty [Euro mn] 663 712
Life/Health [Euro mn] 702 835
Asset Management [Euro mn] 528 466
Corporate and Other [Euro mn] -223 -251
Consolidation [Euro mn] -10 -30
Income before income taxes [Euro mn] 1,486 1,991
Income taxes [Euro mn] -571 -388
Net income / loss [Euro mn] 915 1,603
Property-Casualty [Euro mn] 557 591
Life/Health [Euro mn] 482 576
Asset Management [Euro mn] 309 143
Corporate and Other [Euro mn] -452 224
Consolidation [Euro mn] 19 69
Net income [Euro mn] 915 1,603
attributable to non-controlling interests [Euro mn] 58 38
attributable to shareholders [Euro mn] 857 1,565
Basic earnings per share [Euro] 1.90 3.47
Diluted earnings per share [Euro] 1.88 3.46
Ratios
Property-Casualty: Combined ratio 101.3% 100.4%
Life/Health: Cost-income ratio 96.1% 95.7%
Asset Management: Cost-income ratio 58.5% 58.2%
03/31/2011 12/31/2010
Shareholders' equity** [Euro bn] 43.6 44.5
Conglomerate solvency ratio *** 180% 173%
Third-party assets under management [Euro bn] 1,138 1,164
* 1Q 2010 figures have been restated to reflect a change in Allianz Group's
accounting policy
** Excluding non-controlling interests
*** Including off-balance sheet reserves (03/31/11: EUR 2.1bn, 12/31/10:
EUR 2.1bn). The solvency ratio excluding off-balance sheet reserves would
amount to 171% as of 03/31/11 and 164% as of 12/31/10
These assessments are, as always, subject to the disclaimer provided below.
Cautionary Note Regarding Forward-Looking Statements
The statements contained herein may include statements of future
expectations and other forward-looking statements that are based on
management's current views and assumptions and involve known and unknown
risks and uncertainties that could cause actual results, performance or
events to differ materially from those expressed or implied in such
statements. In addition to statements which are forward-looking by reason
of context, the words 'may', 'will', 'should', 'expects', 'plans',
'intends', 'anticipates', 'believes', 'estimates', 'predicts', 'potential',
or 'continue' and similar expressions identify forward-looking statements.
Actual results, performance or events may differ materially from those in
such statements due to, without limitation, (i) general economic
conditions, including in particular economic conditions in the Allianz
Group's core business and core markets, (ii) performance of financial
markets, including emerging markets, and including market volatility,
liquidity and credit events (iii) the frequency and severity of insured
loss events, including from natural catastrophes and including the
development of loss expenses, (iv) mortality and morbidity levels and
trends, (v) persistency levels, (vi) the extent of credit defaults, (vii)
interest rate levels, (viii) currency exchange rates including the
euro/U.S. dollar exchange rate, (ix) changing levels of competition, (x)
changes in laws and regulations, including monetary convergence and the
European Monetary Union, (xi) changes in the policies of central banks
and/or foreign governments, (xii) the impact of acquisitions, including
related integration issues, (xiii) reorganization measures, and (xiv)
general competitive factors, in each case on a local, regional, national
and/or global basis. Many of these factors may be more likely to occur, or
more pronounced, as a result of terrorist activities and their
consequences. The company assumes no obligation to update any
forward-looking statement.
No duty to update
The company assumes no obligation to update any information contained
herein.
End of Corporate News
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Language: English
Company: Allianz SE
Königinstr. 28
80802 München
Deutschland
Phone: +49 (0)89 38 00 - 41 24
Fax: +49 (0)89 38 00 - 38 99
E-mail: investor.relations@allianz.com
Internet: www.allianz.com
ISIN: DE0008404005
WKN: 840400
Listed: Regulierter Markt in Berlin, Düsseldorf, Frankfurt (Prime
Standard), Hamburg, Hannover, München, Stuttgart;
Terminbörse EUREX
End of News DGAP News-Service
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124117 12.05.2011
DGAP-News: Allianz SE: Allianz weathers heavy natural catastrophes
| Source: EQS Group AG