Profits at the German insurance group were driven by its property-casualty segment, which benefited from higher prices and relatively benign claims from natural catastrophes.
Europe’s largest insurer Allianz revealed an increase in business volume of more than 5% for the first three months of the year, achieving a double-figure rise in net income for its shareholders.
The German firm’s net profit was €2.6 billion, 21.8% higher than the year before, with core earnings per share rising to €6.42 from €5.43 last year.
Operating profit was up by 6.8% at €4 billion, driven by a stronger than expected result in its property-casualty segment, which benefited from higher prices and relatively benign claims from natural catastrophes and higher investment income.
Allianz also reported strong results in its asset management business, which includes Pimco. Growing investor appetite fed the company’s third-party assets under management to €1.784 trillion by the end of March 2024, €71 billion euros more than at the end of 2023. “Net flows in the first quarter already exceeded last year’s full-year levels,” its report revealed.
The insurance company’s third division, the life/health insurance business managed to grow the volume but the operating profit remained steady.
Allianz confirmed its operating profit target for 2024 was in the region of €14 billion.
Claire-Marie Coste-Lepoutre, chief financial officer of Allianz SE said: “We had a very good start into the year and our ability to create value for our shareholders is supported by a strong Solvency II ratio of 203%. We confirm our full-year outlook of an operating profit of €14.8 billion, plus or minus €1 billion.”
