HONG KONG, May 19, 2016 /PRNewswire/ -- Ageas Q1 2016 results (note 1) -- Asia Financial Highlights
Strong operating performance in all segments
Group inflows (at 100%) rose 11% with Asian and Belgium Life business driving the growth of inflows
Insurance net profit slightly exceeded the already strong performance of same period last year.
- Profit
- Insurance net profit stable at EUR 201 million versus EUR 198 million
- General Account net result of EUR 834 million negative as a result of the provision for the Fortis settlement agreement announced 14 March 2016
- Group net result at EUR 633 million negative versus EUR 241 million positive
- Inflows
- Group inflows (at 100%) at EUR 11.1 billion, up 11% (including 3% negative foreign exchange impact)
- Group inflows (Ageas's part) grew 9% to EUR 4.6 billion (including 2% negative foreign exchange impact)
- Life inflows up 14% to EUR 9.4 billion and Non-Life stable at EUR 1.7 billion (both at 100%)
- Operating Performance
- Combined ratio at 97.8% versus 96.6% including the impact of the Brussels terrorism events (4%)
- Operating Margin Guaranteed at 103 bps versus 91 bps
- Operating Margin Unit-Linked at 25 bps versus 39 bps
- Life Technical Liabilities of the consolidated entities at EUR 75.9 billion (+ 2% vs. the end of 2015)
- Balance Sheet
- Shareholders' equity at EUR 10.3 billion or EUR 49.10 per share
- Insurance solvency II ageas ratio at 182% and Group solvency II at 180%
- General Account Total Liquid Assets stood at EUR 1.2 billion versus EUR 1.6 billion end 2015
Continued solid growth in inflows in both Life and Non-Life in Asia
- Ageas Asia's net profit at EUR 61 million vs. EUR 58 million (+5%) of which EUR 12 million originated from its Hong Kong operations.
- Asia's inflows at EUR 7.3 billion vs. EUR 6.4 billion (+14%)
- Hong Kong's inflows amounted to EUR 120 million (-6% at constant exchange rates), impacted by new regulatory changes.
- Mainland China's inflows increased to EUR 6.0 billion (+17% and +21% at constant exchange rates), with new business premiums up 20% to EUR 4.2 billion. The bank channel and the particularly strong performance by the agency channel both contributed to this growth.
- Thailand's Life inflows were up 7% (+15% at constant exchange rates) to EUR 0.7 billion, with strong growth in renewal premiums, + 22%. To EUR 0.4 billion. Non-Life inflows were up 10% (+18% at constant exchange rates) to EUR 83 million across all business lines with substantial growth in both Motor (+14%) and Personal Accident (+29%).
- Malaysia's Life inflows increased 6% (+21% at constant exchange rates) to EUR 151 million. Non-Life inflows amounted to EUR 195 million (+2% at constant exchange rates)
- India's inflows were EUR 61 million (-9% at constant exchange rates). Growth reported in regular premium with the bank channel, up 31% partly offset the lower less profitable Group business
Announcing the 3 months 2016 results, Gary Crist, Chief Executive Officer of Ageas Asia commented:
"Ageas Asia's 3 months 2016 results were marked by continued strong performance in the region. Profitable regular premium sales and a strong financial performance contributed positively to the solid net profit of EUR 61 million from the region. Total inflows recorded an increase of 14% at EUR 7.3 billion, with excellent growth in new business and renewal premiums, especially in China and Thailand. At strategic development front, our new joint-venture in the Philippines has just started operations. In Vietnam, we are in the license approval stage for our greenfield joint-venture. In August 2015, we announced the sale of our Hong Kong Life insurance business to JD Group. The transaction was closed on 12 May 2016. Going forward we remain firmly committed to Asia and will further strengthen our business in the 6 growth markets. Furthermore we continue to explore opportunities in high growth markets in Asia."
Please visit www.ageas.com for full details of the press release.
1. All 3 months 2016 figures are compared to the 3 months 2015 figures unless otherwise stated.
