Ageas Asia Reports 51% Growth in Its Net Profit

HONG KONG, May 9, 2015 /PRNewswire/ -- Ageas Announces 3 month results 2015 (Note 1) -- Asia Financial Highlights

Ageas reports 37% higher Insurance profit; gross inflows (at 100%) up 28% and reached EUR 10 billion mark

• Profit
  • Insurance net profit up 37% to EUR 198 million, with all segments contributing 
  • Group net profit at EUR 241 million, positively impacted by General Account net profit of EUR 44 million mainly due to the reduced RPN(I) liability
• Inflows
  • Group inflows (at 100%) at EUR 10.0 billion up 28% led by Asia and Continental Europe
  • Group inflows (Ageas part) grew 19% to reach EUR 4.2 billion
  • Life inflows up 34% to EUR 8.3 billion and Non-Life up 5% to EUR 1.7 billion (both at 100%)
• Operating Performance
  • Combined ratio at 96.5% versus 102.6%
  • Operating Margin Guaranteed at 91 bps versus 98 bps
  • Life Technical Liabilities of consolidated entities up 3% to EUR 77.1 billion compared to the end of 2014
• Balance Sheet
  • Shareholders' equity up to EUR 12.0 billion or EUR 55.04 per share 
  • Insurance solvency ratio at 222% and Group solvency at 226%
  • General Account net cash position fairly stable compared to the end of 2014 at EUR 1.6 billion

Strong Life profit supported by new business growth in Asia

• Ageas Asia's net profit at EUR 58 million vs. EUR 39 million (+51%) of which EUR 17 million originated from its Hong Kong operations
• Asia's inflows at EUR 6.4 billion vs. EUR 4.4 billion (+47%)

• Hong Kong's inflows increased by 15% to EUR 126 million. Renewal premiums grew by 33% whereas new business sales have been impacted by new regulations.
• Mainland China's inflows increased to EUR 5.1 billion (+51% and +27% at constant exchange rates), with new business premiums up 50% to EUR 3.5 billion. The bank channel and the agency channel both contributed to this growth.
• Thailand's Life inflows were up 45% (+19% at constant exchange rates) to EUR 645 million. Life new business premiums rose 34% to EUR 285 million. Non-Life inflows were up 32% (+9% at constant exchange rates) to EUR 75 million across all business lines with substantial growth in both Motor and Personal Accident (+56%).
• Malaysia's Life inflows increased 15% (4% at constant exchange rates) to EUR 142 million. Non-Life inflows amounted to EUR 216 million (+21% or +9% at constant exchange rates)
• India's inflows were EUR 71 million (+61% at constant exchange rates)

• Strong solvency in Asia (including non-consolidated operations) at 290%

Announcing the 3 month results 2015, Gary Crist, Chief Executive Officer of Ageas Asia commented:

"We have solid contributions from all entities within the region. Profits in Life insurance are up 58% year-on-year and Life inflows are up 49% to EUR 6.1 billion, with non-consolidated partnerships taken at 100%.  Higher sales primarily originated from Mainland China and Thailand as a result of successful sales campaigns and continued channel development, including a further increase in the number of agents.  Life new business premiums grew strongly in both the agency and bank channels with 47% to EUR 3.9 billion.  Renewal premiums also showed a significant increase to EUR 2.2 billion (+52%) benefiting from prior year strong sales and continued good persistency. The Non-Life business saw growth in both Motor and Personal Accident."

Please visit http://www.ageas.com for full details of the press release.  

Note:
1. All 3 month 2015 data are compared to the 3 month 2014 figures unless otherwise stated.