Aviva plc: Worldwide long-term savings new business - Nine months to 30 September 2007
25 October, 2007
- Total worldwide sales1 increase 26%2 to £28,278 million
- Worldwide life and pensions sales up 21% to £22,935 million
- New business profit growth of 24% with new business margin remaining strong at 3.6%
- Aviva Europe delivers organically-generated total sales growth of 17% to £11,556 million
- Growth momentum continues in Aviva Asia Pacific with total sales up 66% to £3,068 million
- Aviva North America delivers outstanding performance with pro forma3 41% increase in total sales to £2,705 million
- Aviva UK increases total sales by 5% to £10,949 million
- Continued excellent growth in investment sales, up 49% to £5,343 million
Andrew Moss, group chief executive, commented: “Aviva's new business sales in the first nine months of 2007 are highly encouraging and have been achieved at consistently strong margins, in line with our value creation objectives.”
“Under our ‘One Aviva, twice the value” agenda we'll continue to improve the profitability of our businesses and accelerate the pace of our international development. We're well positioned to deliver our new medium-term growth targets, not only in the fast growing economies of Asia and Central and Eastern Europe, but also in the more mature European markets, including the UK, and in North America.”
| 9 months to 30 September 2007 | 9 months to 30 September 2006 | Local currency growth2 | ||||||
|---|---|---|---|---|---|---|---|---|
| Aviva UK | ||||||||
| Life and pensions new business sales | £8,750m | £8,791m | - | |||||
| Total long-term savings new business sales | £10,949m | £10,464m | 5% | |||||
| New business contribution before required capital | £270m | £254m | 6% | |||||
| New business margin before required capital | 3.1% | 2.9% | - | |||||
| Aviva Europe | ||||||||
| Life and pensions new business sales | £10,442m | £9,261m | 14% | |||||
| Total long-term savings new business sales | £11,556m | £9,968m | 17% | |||||
| New business contribution before required capital | £400m | £370m | 9% | |||||
| New business margin before required capital | 3.8% | 4.0% | - | |||||
| Aviva North America | ||||||||
| Life and pensions new business sales | £2,705m | £408m | 625% | |||||
| Total long-term savings new business sales | £2,705m | £408m | 625% | |||||
| New business contribution before required capital | £96m | £9m | 1,100% | |||||
| New business margin before required capital | 3.5% | 2.2% | - | |||||
| Aviva Asia Pacific | ||||||||
| Life and pensions new business sales | £1,038m | £668m | 61% | |||||
| Total long-term savings new business sales | £3,068m | £1,878m | 66% | |||||
| New business contribution before required capital | £52m | £33m | 68% | |||||
| New business margin before required capital | 5.0% | 4.9% | - | |||||
| Aviva Group | ||||||||
| Life and pensions new business sales | £22,935m | £19,128m | 21% | |||||
| Total long-term savings new business sales | £28,278m | £22,718m | 26% | |||||
| New business contribution before required capital | £818m | £666m | 24% | |||||
| New business margin before required capital | 3.6% | 3.5% | - | |||||
- All references to sales in this announcement refer to the present value of new business premiums (PVNBP) unless otherwise stated. PVNBP is the present value of new regular premiums plus 100% of single premiums, calculated using assumptions consistent with those used to determine new business contribution.
- All growth rates quoted are at constant rates of exchange.
- Pro forma increases are based upon the combined sales for the former Aviva business based in Boston and the former AmerUs Group for the 2006 year to date third quarter and are stated on a constant exchange rate basis.
Enquiries
| Analysts/Investors: | |
|---|---|
| Andrew Moss, group chief executive, Aviva | +44 (0)20 7662 2286 |
| Philip Scott, group finance director, Aviva | +44 (0)20 7662 2264 |
| Charles Barrows, investor relations director, Aviva | +44 (0)20 7662 8115 |
| Amanda Wilbraham, senior manager investor relations, Aviva | +44 (0)20 7662 2111 |
| Media: | |
| Hayley Stimpson, director of external affairs | +44 (0)20 7662 7544 |
| Sue Winston, head of group media relations | +44 (0)20 7662 8221 |
| Vanessa Rhodes, group media relations manager | +44 (0)20 7662 2482 |
| James Murgatroyd/Ed Simpkins, Finsbury | +44 (0)20 7251 3801 |
There will be a conference call today for wire services at 07:45am (BST) on +44 (0)20 7162 0125 (quoting “Aviva, Andrew Moss”). This conference call will be hosted by Andrew Moss, group chief executive, and attended by Philip Scott, group finance director, and Mark Hodges, chief executive, UK Life.
There will be a conference call today for analysts and investors at 09:30am (BST) on +44 (0)20 7162 0126 (quoting “Aviva, Andrew Moss”). This conference call will be hosted by Andrew Moss, group chief executive, and attended by Philip Scott, group finance director, and Mark Hodges, chief executive, UK Life.
Replay will be available for two weeks until 9 November 2007. The dial in number for replays is +44 (0)20 7031 4064 and the pass code is 767822.
Photographs are available in the Aviva media centre.
