Aviva plc today announced an increase in IFRS operating profit of 4% to A$5.0bn (£2.3bn) with the total dividend per share unchanged at 33 pence per share. This dividend is covered 1.9 times by IFRS operating earnings after tax.
Aviva plc today announced an increase in IFRS operating profit of 4% to A$5.0bn (£2.3bn) with the total dividend per share unchanged at 33 pence per share. This dividend is covered 1.9 times by IFRS operating earnings after tax.
Commenting on the result Andrew Moss, chief executive, said: "In a tumultuous year, our underlying business has shown great resilience. Operating profits are up and we have maintained our dividend."
IGD solvency surplus increased from Q3 2008 to A$4.3bn at the end of 2008 (Aviva has a significant capital buffer - the IGD surplus is the additional surplus above regulatory capital and solvency margin).
Mr Moss commented: "Aviva remains financially strong. Maintaining our capital strength has been a priority for us and remains so this year."
Allowing for investment returns Aviva reported an IFRS loss of A$1.93bn after tax. Mr Moss commented that "investment markets have predictably created significant unrealised losses during the year." As markets recover, to some degree at some point, these unrealised losses will begin to reverse.
Allan Griffiths, chief executive officer of Aviva Australia, said: "Aviva is showing continued growth both in Australia and globally. In Australia Aviva has been recognised as Life Company of the Year which reflects the quality of our products and service. There is a flight to quality and our continued financial strength puts us in a better position than many of our competitors.
"Conditions are tough in investment markets but we continue to see net inflows into our platform."
In Australia, Aviva Australia Holdings Ltd reported IFRS profits after tax of A$61m (down from A$96m), an exceptionally strong result in some of the toughest markets in business history with the reduction being due to changes in the market value of assets.
"Aviva is financially strong and we are managing our business to stay that way," said Mr Griffiths.
-ends-
For more information:
Ariana Alvarenga
Public Relations
Phone: (03) 9829 8985
Mobile: 0423 087 815
Disclaimer
This news release has been provided on the basis that it is only for the information and exclusive use of the particular person to whom it is provided by Aviva (Aviva Australia Holdings Limited ABN 38 095 045 784 and its related companies). While Aviva believes the information in this news release is accurate which in some cases has been provided to us by third parties, Aviva is not making any representation as to the accuracy, reliability or completeness of the information in the news release. Neither Aviva, nor its directors, officers or employees will have any liability to you or any persons resulting from your use of the information in this news release.
The information in this news release is of a general nature and has been prepared without taking into account any person's particular investment objectives, financial situation or particular needs. Applications to invest in a financial product issued by any company within the Aviva group must be made by completing the application form attached to or accompanying the applicable Product Disclosure Statement which is available from Aviva or your financial adviser. Aviva does not receive any remuneration in relation to the provision of the information available from this news release which is of a general nature only.