Allianz: boosts dividend after solid year

(CercleFinance.com) - German insurer Allianz said that it will raise its annual dividend after its 2019 operating profit reached the upper half of its target range.


Europe's second biggest insurer said on Friday that it will propose a dividend of 9.60 euros per share for 2019, up 6.7% from last year's dividend of 9 euros and the seventh consecutive increase.

Allianz also announced a new share buyback program of up to 1.5 billion euros that is to be completed by the end of the year.

The move comes after the group posted operating profit of 11.9 billion euros for 2019, up 3% and in the upper half of the announced target range of 11 billion to 12 billion euros.

Operating profit was mostly driven by the life/health business, a positive one-off profit in the United States, and volume growth, Allianz said.

Its asset management business also reported a strong increase in operating profit, it said.

For 2020, Allianz is aiming at operating profit of 12 billion euros, up 4% compared to its previous target, plus or minus 500 million euros.

Investors appeared pretty indifferent towards this report, with the share up just 0.3% on the Frankfurt Stock Exchange on Friday morning.

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