Generali closes the first quarter of 2021 with a net profit equal to 802 million euros, a clear increase compared to the 113 million recorded in the same period of 2020 (a figure on which significant write-downs on investments and the charge for the Extraordinary International Fund for Covid-19 had weighed). On average, analysts had expected profits of $750 million.
Il Operating income on the other hand, it rose to 1,6 billion euro (+11%), above all thanks to the development of the Non-Life and Asset Management segments. "Resilient", notes a note, the contribution of the Life segment.
In particular, Generali records gross premiums for 19,7 billion (+4,2%), with an increase both in the Life business (+5,5%) and in the Non-Life sector (+1,9%).
La Life net income it grew to 3 billion (+1%) and is concentrated on unit-linked and pure risk lines.
- Assets Under Management Group totals amount to 671,6 billion (+1,1%).
On the balance sheet side, the capital position is defined as "extremely solid", with the Group Solvency Ratio at 234%, which "benefits from excellent capital generation and positive market trends," the note continues.
Combined ratio to 88,0% (-1,4 pp) e New Business Margin to 4,44% (+0,4 pp).
Basically stable net assets, to 30,067 billion (+0,1%).
For the targets, in the light of the results achieved in the first quarter of 2021, Generali confirms the objective of a compound annual growth in earnings per share 2018-2021 between 6% and 8%. Furthermore, Il Leone expects a 2021 RoE greater than 11,5% and cumulative dividends for 2019-2021 between 4,5 and 5 billion euros, "subject to the regulatory context".
"The Group closes the first quarter of 2021 with an excellent performance, in line with its objectives, confirming the effectiveness of the Generali 2021 strategy - comments the Cfo, Christian Borean – The group remains among the most solid in the insurance sector with an excellent capital position. The rebalancing of the Life business mix continues, which has allowed us to maintain excellent profitability in the current scenario of low interest rates. Generali once again records the best and least volatile Combined Ratio among peers and achieves excellent results in Asset Management and other segments. The strong growth in operating income and net profit demonstrates that the group continues to operate effectively in a still uncertain macroeconomic scenario due to the pandemic crisis".
The press release contains no mention of the requests for governance changes made by Caltagirone.
