Allianz reported a record high operating profit last quarter, but missed estimates of core net income.
Operating profit was EU€4.24 billion, up 6.3% year-over-year and in line with estimates. Shareholders’ core net income was EU€2.55 billion, rising 1.5% year-over-year but below estimates by 6%.
“Allianz’s first quarter performance and our confirmed outlook underscore our financial strength and resilient business model, which benefits from the attractiveness of our customer value propositions amid geopolitical and economic uncertainty,” said Allianz CEO Oliver Bäte.
“In fact, we view this uncertainty and change as a catalyst for innovation and growth, allowing us to pursue new opportunities and expand our offerings. As the world’s leading insurance brand, we are well-positioned to benefit from the global flight to trust, with the ability to meet growing customer demand for protection and retirement solutions.”
Core earnings per share last quarter were EU€6.61, growing by 2.9%.
Total business volume across the company rose by 11.7% to EU€54 billion. Business volume was up across sectors, with Life/Health seeing the largest percentage increase at 18.6%.
Property-Casualty, its largest segment, reported a 5% increase in operating profit to EU€2.17 billion, though this was 1% below estimates. The segment’s total business volume rose by 6% to €27 billion.
Life/Health and Asset Management saw operating profit rise by 7.5% and 4.8% year-over-year, while Corporate and Other’s operating profit declined by 7.6%.
Allianz reaffirmed its full-year outlook, which projects an operating profit of EU€16 billion, plus or minus €1 billion.
Allianz’s (FWB: ALV) share price was EU€348.20 at the time of writing, down from its previous close of €351.90. Its market capitalisation is €135.6 billion.
