Talanx withdraws profit outlook for 2020 and reaffirms dividend proposal for 2019

Preliminary net income in Q1 2020 of EUR 223 million roughly at previous year’s level (EUR 235 million)
Talanx confirms intention to pay dividend of EUR 1.50 per share for financial year 2019

In view of the ongoing corona pandemic and the considerable uncertainty around how the economic and capital markets environment will develop, the Talanx Group withdraws the outlook for the financial year 2020. From today’s standpoint, the existing net income target of between “more than EUR 900 million” and EUR 950 million is subject to too many uncertainties to be maintained.

In recent weeks the pandemic has resulted in a shutdown of public and economic life in many countries. It is currently unclear how long the global state of emergency will last, so that the economic impact cannot be conclusively estimated.

The preliminary consolidated net income for the first quarter 2020 of EUR 223 million is roughly in line with the previous year (EUR 235 million). To project the full-year results for 2020 based on the results for the first quarter appears impossible because the corona-related impact on our investment results and on our insurance business is only reflected in one out of three reporting months.

Despite the significant changes in equity prices, interest rates and risk premiums, the Talanx Group expects the Solvency II ratio net of transitional to remain comfortably within the target range of 150% to 200% as at 31 March 2020 (31 December 2019: 211%).

Talanx confirms the intention to pay a dividend of EUR 1.50 per share for the financial year 2019 as proposed.

Details of the first quarter 2020 results will be reported as scheduled on 7 May 2020.

Disclaimer

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.