Allianz second-quarter profit beats forecasts

(Reuters) — German insurance group Allianz on Thursday posted a better-than-expected 7.5% rise in second-quarter net profit and said it was on track to meet its full-year target.

Strength in the company’s property/casualty business balanced out claims resulting from natural catastrophes, it said, adding that third-party assets under management rose to the highest level since the first quarter of 2022.

Allianz reported net profit attributable to shareholders of €2.51 billion ($2.75 billion), beating analyst expectations of €2.37 billion.

“These results should highlight the underlying quality of the business,” said analysts at Deutsche Bank, which rates Allianz a “buy”.

Shares in the company opened 1.6% higher.

Allianz also reiterated its 2024 operating profit target of between €13.8 billion and €15.8 billion.

KBW analysts said the results suggest Allianz will land in the top end of that range.

Late Wednesday Allianz said it was expanding its share buyback program this year to €1.5 billion, up from an original €1 billion.