Allianz Q2 Results Climb, Sees FY21 Profit In Upper Half Of View Range; Stock Up

Shares of Allianz SE were gaining around 3 percent in German trading after the insurance and asset management company Friday reported higher second-quarter results and said it now sees fiscal 2021 profit at top end of forecast range.

For fiscal 2021, the company now expects operating profit to be in the upper half of the target range of 12 billion euros, plus or minus 1 billion euros.

Giulio Terzariol, Chief Financial Officer of Allianz SE, said, “The second quarter once again underscores Allianz’ strong underlying performance, which was reflected in all key financial figures. I’m pleased that all our businesses are delivering very good results and that we’re growing profitably. On this basis, we are confident about the second half of 2021 and expect now an operating profit in the upper half of our target range.”

For the second quarter, net income attributable to shareholders climbed 45.7 percent to 2.23 billion euros from last year’s 1.53 billion euros. Earnings per share were 5.22 euros, up 41 percent from 3.68 euros last year.

Operating profit of 3.3 billion euros increased 29.4 percent from the prior year, due to strong operating profit growth from all business segments.

Total revenue grew 10.9 percent to 34.3 billion euros from last year’s 30.9 billion euros.

Internal revenue growth, which adjusts for currency and consolidation effects, amounted to 12.6 percent, mostly driven by Life/Health business segment.

The company noted that high demand for Life/Health insurance products resulted in good revenue growth. Asset Management business continued to grow and reached a new historic high in assets under management.

Property-Casualty insurance revenues increased 3.4 percent from last year to 13.9 billion euros.

Third-party assets under management increased by 56 billion euros to 1.83 trillion euros in the quarter, compared to the end of the first quarter of 2021. This was driven by positive market effects of 41.8 billion euros and net inflows of 25.9 billion euros.

Total assets under management increased to 2.49 trillion euros in the second quarter.

In Germany, Allianz shares were trading at 197.92 euros, up 2.61 percent.

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