For the first six months of 2020 (H1 2020), the net income of Allianz decreased by 28.1% to €3.1bn from €4.31bn recorded in H1 2019
Allianz headquarters in Munich. (Credit: Allianz)
Allianz Group has reported a 28.6% drop in its net income attributable to shareholders at €1.53bn for the second quarter of 2020 (Q2 2020) compared to €2.14bn made in the same quarter of last year.
The diluted earnings per share for the German insurance group in Q2 2020 came down by 27.8% to €3.68 from €5.1 reported in Q2 2019. The second quarter like the first quarter was impacted by the prevailing Covid-19 crisis.
Allianz’s net income in the previous quarter, that is Q1 2020, was €1.48bn, or €3.21 per diluted share.
For the first six months of 2020 (H1 2020), Allianz’s net income decreased by 28.1% to €3.1bn from €4.31bn recorded in H1 2019.
Allianz’s operating profit for Q2 2020 came down by 18.8% to €2.56bn compared to €3.16bn in Q2 2019. The H1 2020 operating profit was down by 20.5% at €4.9bn compared to the first six months of 2019.
The German insurer’s total revenues for Q2 2020 dropped by 6.8% from €33.2bn in Q2 2019 to €30.9bn. For the first half of 2020, the total revenues remained flat at €73.5bn compared to the total revenues reported in H1 2019.
The life/health business of the German insurer contributed the most revenues in Q2 2020 among all its units, at €15.8bn, which marks a reduction of 12.6% compared to €18.1bn made in Q2 2019.
The operating profit of the life/health unit was down by 19.5% to €991m in Q2 2020 compared to €1.23bn in Q2 2019, which was largely because of a favourable one-off profit made last year.
The property/casualty business of Allianz had its total revenues remain flat at €13.5bn in the second quarter of 2020, compared to the same quarter in the year before.
The unit’s operating profit came down by 17.4% to €1.14bn in Q2 2020 compared to €1.38bn in Q2 2019 because of losses related to Covid-19, and also a lower operating investment result.
Allianz CEO comments on H1 2020 results
Allianz CEO Oliver Bäte said: “The pandemic continues to be a challenge for all industries. Nevertheless, Allianz has achieved robust results and shown a remarkable resilience in the first six months of 2020.
“It makes us confident that we will see a solid financial performance also in the second half of 2020.”