March 20, 2017
Talanx significantly increases Group net income to EUR 907 million
- Gross written premiums at EUR 31.1 (31.8) billion, generally stable when adjusted for currency effects
- Net return on investment unchanged at 3.6 (3.6) percent
- EBIT rises 5.4 percent to EUR 2.3 (2.2) billion
- Group net income increases by 23.6 percent to EUR 907 (734) million
- Proposed dividend of EUR 1.35 (1.30): continuous increase since IPO
- Outlook for 2017 revised upwards in February: Group net income of around EUR 800 million expected
The Talanx Group increased its net income in financial year 2016 by 23.6 percent to EUR 907 (734) million and so exceeded its profit forecast significantly. Premium income of EUR 31.1 (31.8) billion remained generally stable when adjusted for currency effects. Operating profit (EBIT) grew by 5.4 percent to EUR 2.3 (2.2) billion. All divisions exceeded their respective net income targets. A large loss burden that remained below expectations and the level of the previous year as well as fiscal one-off effects contributed to the positive performance. The continued optimisation of the portfolio in Industrial Lines, the progress made in improving efficiency and profitability in the German retail business and the systematic implementation of the internationalisation strategy bore fruit, with this success also being reflected in the operating profit. In addition, Talanx continued to press ahead with digitalisation and automation in key business areas. In light of the positive performance overall in all divisions, Talanx revised its outlook upwards in February for Group net income in financial year 2017 to around EUR 800 million.
This news release contains forward-looking statements which are based on certain assumptions, expectations and opinions of the Talanx AG management. These statements are, therefore, subject to certain known or unknown risks and uncertainties. A variety of factors, many of which are beyond Talanx AG’s control, affect Talanx AG’s business activities, business strategy, results, performance and achievements. Should one or more of these factors or risks or uncertainties materialise, actual results, performance or achievements of Talanx AG may vary materially from those expressed or implied in the relevant forward-looking statement. Talanx AG does not guarantee that the assumptions underlying such forward-looking statements are free from errors nor does Talanx AG accept any responsibility for the actual occurrence of the forecasted developments. Talanx AG neither intends, nor assumes any obligation, to update or revise these forward-looking statements in light of developments which differ from those anticipated.