ageas (AGS) H1 2024 earnings summary

Executive summary

• Net Operating Result reached EUR 613 million in H1 2024, with a 16.4% Return on Equity, driven by strong Life and Non-Life insurance results and inflows surpassing EUR 10.2 billion, up 14% at constant FX and scope, with notable growth in the UK, Portugal, and Asia.

• Operational capital generation was robust at EUR 1.2 billion, and operational free capital generation was EUR 934 million, reflecting resilience and agility in adapting to market changes.

• Comprehensive equity increased to EUR 15.9 billion, with Solvency II ratio at 219%, well above the 175% target.

• Board approved a EUR 200 million share buyback (2.5% of market cap) and an interim dividend of EUR 1.5 per share, both to be executed in H2 2024.

• Recognized for sustainability, included in BEL® ESG index and awarded multiple ESG and employer accolades.

Financial highlights

• Inflows reached EUR 10.2 billion, up 14% year-over-year at constant FX and scope; Non-Life inflows up 23%, Life inflows up 10%.

• Net Operating Result was EUR 613 million, with Net Result at EUR 642 million and Return on Equity at 16.4%.

• Operational Free Capital Generation increased to EUR 934 million from EUR 492 million in H1 2023.

• Life Guaranteed margin improved to 164 bps; Unit-Linked margin at 41 bps; Non-Life combined ratio at 94.1%.

• Comprehensive equity per share at EUR 86.58 (June 2024).

Outlook and guidance

• Full-year 2024 Net Operating Result expected between EUR 1.2–1.25 billion, exceeding initial plan targets.

• Management confident in continued growth, profitability, and meeting all Impact24 strategic plan targets.

• No change in M&A strategy; growth to be driven by existing footprint in Europe and Asia.

• Above EUR 800 million recurring cash upstream expected in 2024, with EUR 601 million already received in H1.