Allianz SE achieves record profit for H1 2024

Allianz SE (Allianz) announced strong financial results for the first half of 2024 (H1 2024), confirming its confidence in achieving full-year targets.

Allianz SE CEO Oliver Bäte said the insurance giant showed resilience and core strength, despite the natural disaster in the second quarter (Q2 2024), including heavy flooding in Germany.

“Our performance shows the great strength and resilience of our company, especially since our results were obtained in the midst of a significant natural disaster in the second quarter – and especially in our home market. Allianz's response to our customers affected by the floods in Germany demonstrated the best combination of compassion, speed, and professionalism.

“Teams empowered with digital claims processing tools visited almost all the affected properties within two weeks of the event, which assured our customers and limited damage,” he said. “These excellent property and casualty results were accompanied by strong delivery in our health, and property management segments, demonstrating how we are translating our customer focus strategy into strong earnings growth.”

Allianz's Q2 and H1 2024 financial results

Total business value

Q2 2024: Total business increased by 7.6% to 42.6 billion euros, driven by strong momentum in all business segments. Adjusted for foreign currency effects and consolidation, internal growth was 8.8%.

H1 2024: Total business increased by 6.4% to 91.0 billion euros, with all segments contributing. Internal growth was 7.5%.

Salaries

Q2 2024: Operating profit reached 3.9 billion euros, with all segments making a positive contribution. The strong performance of the Property and Casualty (P&C) segment offsets the impacts of the natural disaster. Shareholders' equity remained stable at 2.5 billion euros. The total income received by the shareholders increased to 2.5 billion euros.

H1 2024: Operating profit grew by 5.3% to 7.9 billion euros, with all segments showing growth. Net profit for shareholders increased by 7.7% to 5.0 billion euros. Net income attributable to shareholders increased by 14.2% to 5.0 billion euros. Core earnings per share were 12.57 euros. The core annual return on equity was 17.5%. A 1 billion euro share buyback program, announced in February, was completed in July, with 500 million euros planned.

Solvency II capitalization ratio

Allianz II's capitalization rate stood at 206% at the end of the second quarter, up from 203% at the end of the first quarter.

Allianz Q2 and H1 2024 highlights

Property and casualty insurance

Q2 2024: Business volume increased by 9.4% to 19.3 billion euros, with internal growth of 10.5%. Operating profit was 1.9 billion euros despite heavy losses from natural disasters. The combined ratio was 93.5%, with a loss ratio of 69.2% and a cost ratio of 24.2%.

H1 2024: Business volume increased by 7.3% to 44.8 billion euros, with internal growth of 8.1%. Operating profit increased by 3.3% to 4.0 billion euros. The combined ratio was 92.7%, with a loss ratio of 68.3% and a cost ratio of 24.4%.

Life and health insurance

Q2 2024: The current value of new business premiums (PVNBP) increased to 18.8 billion euros. Operating profit rose to 1.4 billion euros. The contract service margin (CSM) grew to 53.6 billion euros, with a new business margin (NBM) of 5.8%.

H1 2024: PVNBP increased to 41.1 billion euros. Operating profit rose to 2.7 billion euros. CSM grew to 53.6 billion euros, with NBM 5.7%.

Asset management

Q1 2024: Operating income increased to 2.0 billion euros, operating profit increased to 742 million euros. The assets of foreign companies under management reached 1.803 trillion euros.

H1 2024: Operating income increased to 4.0 billion euros, operating profit increased to 1.5 billion euros. Third party assets under management increased by 91 billion euros to 1.803 billion euros.

Allianz SE CFO Claire-Marie Coste-Lepoutre said the results for the second quarter of the year show the strength of the company's business model.

“Allianz's second quarter results and the consistency of our performance confirm our momentum and the strength of our business model,” he said. “We look confidently to the second half of 2024 and confirm our outlook for an operating profit of 14.8 billion euros as well as an outflow of 1 billion euros for the full year.”