ageas (AGS) H1 2024 earnings summary

Executive summary

• Achieved record inflows of over EUR 10.2 billion in H1 2024, up 14% at constant FX and scope, driven by strong growth in both Life and Non-Life segments, especially in the UK, Portugal, and Asia.

• Net Operating Result reached EUR 613 million, with a 16.4% Return on Equity; full-year Net Operating Result expected between EUR 1.2–1.25 billion, exceeding initial plan targets.

• Operational capital generation was robust at EUR 1.2 billion, and operational free capital generation at EUR 934 million, reflecting resilience and strong business performance.

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

• Comprehensive equity increased to EUR 15.9 billion, with a holding cash position above EUR 1.3 billion.

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 more than doubled in Portugal.

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

• Solvency II ratio improved to 219%, well above the 175% target; Non-Solvency II scope solvency at 276%.

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

• Life guaranteed margin at 164 bps; Life unit-linked margin at 41 bps; Non-Life combined ratio at 94.1%.

Outlook and guidance

• 2024 Net Operating Result expected between EUR 1.2 billion and EUR 1.25 billion, exceeding initial plan targets.

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

• Continued focus on capital strength, operational performance, and disciplined growth in core markets.

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