Ageas Re generates €67m operating profit in H1’24, CoR sits at 93.1%

Ageas, the Brussels-headquartered multinational insurer, has reported a total net operating result of its reinsurance segment of €67 million in the first six months of 2024, up from the €66 million figure that was posted in the prior year period.

Ageas Re’s combined ratio for the period was up compared to last year, standing at 93.1%, which the firm noted was due to higher claims during H1’24, while last year benefitted from benign weather.

In addition, Ageas’ total net operating result for the period amounted to €613 million, representing a 16.4% Return on Equity.

Ageas stated that it’s operating result was primarily driven by solid insurance results in both Life and Non-Life.

Moreover, the Life net operating result reached €468 million, primarily driven by an increase of 47% in the Insurance result reflecting the quality of the business off-set by higher taxes in Asia.

While Ageas’ Non-Life performance was solid across all segments, which ultimately led to a combined ratio of 94.1% for the Group.

As a result, this translated into a net operating result for the Non-Life business of €200 million for the period, up 9%
compared to last year.

Meanwhile, Ageas’ Solvency II ratio increased by 2 percentage points over H1’24, reaching a new high of 219 %, largely above the company’s target of 175%. The insurance operations contributed 10 percentage points, more than covering the accrual of the expected dividend.

In Belgium, inflows increased by 5%, which Ageas attributed towards strong growth in Non-Life (+8%) and supported by Life inflows that returned to growth (+3%).

Whereas, in Europe, inflows climbed 46% at constant scope (excluding France) with robust growth seen in Life and Non-Life.

In fact, Ageas noted that Europe life inflows recovered strongly in the period and more than doubled at constant scope.

The firm explained that this increase was driven by new savings products in Portugal while inflows from Türkiye doubled due to growth in all businesses.

Moving towards Asia, inflows were 7% up at constant exchange rates, with growth mainly driven by good sales momentum in Life, due to the strong opening sales campaign and renewal business in China as a result of solid regular premium sales last year and high persistency, Ageas explained.

Hans De Cuyper, CEO Ageas, commented: “Once again we delivered on our Impact24 growth strategy, driven by an excellent overall Non-Life performance and significant growth in Life bolstered by a solid increase in inflows in Asia and a strong recovery in Europe.

“These excellent insurance results in both Life and Non-Life allowed us to deliver a robust Net Operating Result for the first half of 2024. This places us in a strong position to sustain our full-year guidance for a Net Operating Result of EUR 1.2 to 1.25 billion. And in line with our commitment, we will be distributing an interim gross cash dividend of EUR 1.50 to our shareholders.

“Furthermore, we decided to launch a new share buyback programme of EUR 200 million. Alongside our operational and financial successes, we are increasingly being recognised for our commitment to our non-financial goals, and as we approach the conclusion of our 3-year strategic plan, we are confident that we will meet all targets set under Impact24.”

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