Aviva Australia Holdings Limited has reported an operating profit of A$85,793,000 for the year ended 31 December 2004, an increase of 136% on 2003's operating profit of A$36,357,000.
Aviva Australia Holdings Limited has reported an operating profit of A$85,793,000 for the year ended 31 December 2004, an increase of 136% on 2003's operating profit of A$36,357,000.
The dividend, paid to parent company Aviva plc, was A$55 million - an increase from A$27 million in 2003.
Aviva Australia's chief executive officer, Allan Griffiths said he was very pleased with the result in Australia which highlighted the success of Aviva's new business initiatives throughout the year.
The 2004 result was achieved through:
- Strong investment markets
- Growth in both Navigator and corporate Super Solutions sales
- Favourable claims and discontinuance experience in the life operations
- Reduced unit costs resulting from process efficiencies and business growth.
Aviva also conducted due diligence to acquire an additional 20% interest in Professional Investment Holdings Limited (PIH), the holding company of one of Australia's largest adviser groups, Professional Investment Services (PIS). This resulted in Aviva entering into an agreement for the acquisition of this additional 20% interest. Additionally, as a result of an arrangement recently entered into between Aviva and PIH, a number of PIH badges are now being offered by PIS advisers.
Aviva's continued growth in Australia can be attributed to a number of business enhancements, including the launch of Protectionfirst, the continued development of n-link - Navigator's on line administration system for financial advisers and a strong focus on customer service.
"The success of Protectionfirst, Aviva's market leading life insurance product, has been outstanding and is certainly an example of a product that has met the markets needs and as is bringing excellent sales results for Aviva," said Allan.
The success of this strategy can be seen in the fact that Aviva was recently awarded the Money Management/DEXX&R accolade of "Risk Company of the Year' for 2005.
"At Aviva we are committed to developing new and challenging ways to do business and this is highlighted in the amount of product and development work that has happened in the past year or so," said Allan.
"We are now looking forward to positive results for 2005 off the back of a number of recent new business initiatives, including the recent launch of Navigator Access - a simplified and attractively priced administration platform," he said.
-ends-
For further information please contact:
Simon Morgan
Group General Manager Public Affairs
Phone: (03) 9829 8892
Mobile: 0407 966 632
Notes to editors:
- Globally, Aviva Australia is part of Aviva plc, the world's fifth largest insurance group, the largest insurer in the UK and one of the top five life companies in Europe. Aviva was formed in May 2000 through the global merger of CGU plc and Norwich Union plc.
- Aviva is a leading provider of life and pensions products to Europe and has substantial businesses elsewhere around the world. Its main activities are long-term savings, fund management and general insurance. It has premium income and investment sales from continuing operations of A$78 billion, and more than A$624 billion of assets under management (as at 1 July 2004). The group has more than 56,000 employees and 30 million customers worldwide. Aviva is a leading provider of life and pensions products to Europe and has substantial businesses elsewhere around the world. Its main activities are long-term savings, fund management and general insurance. It has premium income and investment sales from continuing operations of A$78 billion, and more than A$624 billion of assets under management (as at 1 July 2004). The group has more than 56,000 employees and 30 million customers worldwide.
- The information in this document reflects Norwich Union Life Australia Limited's (NULAL) and NULIS Nominees (Australia) Limited's ('NULIS') understanding of existing legislation, proposed legislation, rulings etc as at the date of issue. In some cases the information has been provided to us by third parties. While it is believed the information is accurate and reliable, this is not guaranteed in any way. The information given in this document is of a general nature and has not taken into account the investment objectives, financial situation or particular needs of any particular person and it is not a substitute for professional advice. Applications to invest in a financial product issued by Aviva, or any of its related entities, must be made by completing the application form attached to the applicable Product Disclosure Statement ("PDS"). A PDS is available from Aviva or your financial adviser. Before making an investment decision on the basis of the information above, a prospective investor needs to consider, with or without the assistance of a professional adviser whether the information is appropriate in the light of their particular investment needs, objectives and financial circumstances.