Allianz Group reported strong results for the full year 2017 due largely to higher performance in Asset Management and Life and Health.
Total revenues for the Group rose 3.0 percent to 126.1 billion euros (2016: 122.4 billion) for the year, driven by improvements in all business segments. Operating profit edged 0.4 percent higher to 11.1 (2016: 11.1) billion euros in 2017, squarely in the upper half of the Group’s announced target range of 10.3 to 11.3 billion euros. The Property and Casualty segment saw operating profit fall by 7.5 percent due primarily to higher natural catastrophe claims in 2017, the costliest year ever for the insurance industry. Claims stemming from California wildfires, hurricanes Harvey, Irma and Maria plus European storms and other natural catastrophes rose to 1.1 (2016: 0.7) billion euros for the year. Net income attributable to shareholders edged 2.3 percent lower to 6.8 (6.96) billion euros in 2017, influenced by the one-off impact of U.S. tax changes and effects from the sale of Oldenburgische Landesbank (OLB).
Basic Earnings per Share (EPS) was 15.24 (15.31) euros for the year. The Solvency II capitalization ratio rose to 229 percent at end-2017 compared to 218 percent at end-2016. The Board of Management will propose raising the dividend by 5.3 percent to 8.00 euros per share for 2017 compared to 7.60 euros per share for 2016.
Allianz again improved customer loyalty and experience measures in 2017, with the share of Group businesses whose Net Promoter Score (NPS) outperformed local markets rising 5 percentage points globally to 60 percent. The Inclusive Meritocracy Index (IMIX), which measures leadership, performance and corporate culture, rose 2 percentage points in 2017 to 72 percent, the three-year target level for 2018. These measures reflect Allianz’s efforts to serve customers and engage employees.