Although Allianz saw higher payouts for natural disasters in the first quarter following storm Friederike in January, the German insurer said it was confident of hitting full-year targets
Frankfurt am Main (AFP) - German insurance giant Allianz said Tuesday it was confident of hitting full-year targets, after enjoying increased revenues and profits in the first quarter.
Net profit attributable to shareholders at the group increased 6.8 percent year-on-year, to 1.9 billion euros ($2.3 billion) between January and March.
Increased income from investments, lower restructuring costs and a lower tax rate helped increase the bottom line even as Allianz’s operating, or underlying result fell 6.0 percent, to 2.8 billion euros.
Meanwhile, revenues increased only slightly, to 36.5 billion euros.
“We had increases in both the top and the bottom lines, even if market volatility was visible at an operating level in the first quarter,” chief executive Oliver Baete said, blaming the stronger euro for part of the weaker underlying result.
Allianz saw higher payouts for natural disasters in the first quarter compared with 2017, highlighting especially 220 million euros of claims caused by storm Friederike, which battered Europe in January.
In April, after the end of the first quarter, Allianz completed its acquisition of minority stakes in France-based credit insurance firm Euler Hermes, delisting it from the Paris stock exchange.
The group said the results put it on track to meet its full-year target of an operating profit of 11.1 billion euros, the same amount as last year, plus or minus 500 million.