UK life assurance, pensions and insurance provider Aviva has declared 25% increase in worldwide operating profit of £2,344 million.
Life operating profit was up 9% to £1,611 million, reflecting a steady return of customer confidence; long-term savings sales growth was up 12% to £20,687 million, with outperformance in many markets in Europe and investment sales up 44% to £1,629 million; general insurance profits were up 47% to £1,326 million.
“Aviva is thriving,” says Richard Harvey, group chief executive. “This is a strong set of results, delivered by managing our business for value for customers and shareholders. Our diversified business model brings the complementary qualities of long-term savings and general insurance. Our aim is profitable growth in all of our businesses. We have one of the strongest platforms for long-term savings growth across continental Europe and this now accounts for over 50% of our life and pensions new business. We’ve also gained good ground in the long-term growth markets of Asia. The outlook is brighter for long-term savings across our main markets as savers’ confidence continues to return. Our general insurance business continues to deliver very strong and resilient earnings through scale benefits and innovation. Today we’ve also announced the acquisition of RAC plc which builds on our success in the UK general insurance market and creates a powerful new combination in insurance and motoring services while delivering substantial shareholder value potential to Aviva’s shareholders. Our shareholders are seeing healthy dividend growth underpinned by strong statutory profits.”