Netherlands: Delta Lloyd Group almost doubles profits in excellent 2003
Key figures
- Result before taxation and exceptional items €311 million (+97%)
- Net result €247 million (+79%)
- Operating result €403 million (+ 67%)
- Total Group income €7.4 billion (+34%)
- Total gross premium income €5 billion (+15%)
- Increase in new business: Life (NAPI) +57%, General +76% and Care +45%.
- Total assets under management € 41 billion (+13%)
- Shareholders' funds € 2.2 billion (+31%)
- Solvency of Dutch insurance operations 220%
- BIS-ratio of Delta Lloyd Banking Division 14.4
Delta Lloyd Group can look back on an excellent 2003. Profits, premium income, income and solvency improved, and the Group's strategic position is now stronger than ever.
Virtually all divisions showed an improvement in profits, with sharp rises in net, gross and operating results. The total net result went up by 79% to
€247 million, while the result before taxation and exceptional expenses increased by 97% to € 311 million and the operating result climbed 67% to
€403 million. These figures demonstrate the effectiveness of the measures taken to save costs and improve margins.
The consolidation of ABN AMRO Insurance helped boost gross premium income by over 15% to €5 billion. The trend in premium income was also satisfactory. The new business figures for Life (NAPI), General and Care business increased in 2003 by 57%, 76% and 45%, respectively. Investment income more than doubled to €2.2 billion (+116%).
The position of Delta Lloyd Group was strengthened further in 2003. The solvency of the Dutch insurance operations advanced strongly to 220% (2002: 177%). Delta Lloyd Life and General both carry a Standard & Poor’s AA-rating (stable outlook), one of the best ratings of any Dutch insurer. The profitability of the banking operations also increased, and the BIS-ratio improved to 14.4 (2002: 13.9).
In 2004 Delta Lloyd, in line with changing regulations, will move to an accounting method in which all realised investment results on equity and property are taken directly to the profit and loss account. This makes the net result more sensitive to the investment results and hence more volatile. Therefore, no indication will be given concerning Delta Lloyd Group's net result for 2004. However, Delta Lloyd Group foresees an improvement in premium income, a continuing reduction in costs, as well as an improvement of the operating result in 2004.
Like the full annual report of Delta Lloyd Group, this press release can be downloaded in both Dutch and English from the Delta Lloyd Group website, www.deltalloydgroup.com.
The Executive Board will present the figures to the press in the Mondriaan Tower, Amstelplein 6, 1096 BC Amsterdam on Wednesday 25 February at 11:00 a.m. For more information please contact David Brilleslijper, Manager Corporate Communications, Delta Lloyd Group, tel. +31 (0)20 594 4488