Operating result

51_a_ok_uk_0.png

 

The operating result of the Group amounted to € 4,219 million (€ 3,928 million at 31 December 2011). The increase (up 10.5% on equivalent consolidation area) was due to the growth of all Group segments. In particular, the increase in the life segment (+9.7% on equivalent consolidation area) benefited from the positive trend in the technical margin and financial performance, despite the economic effects of the ongoing de-risking policies implemented during the year and the impact of lower reinvestment rates given the current market conditions, particularly in Germany and France. The operating result of the property&casualty segment increased (+5.6% on equivalent consolidation area) given the growth of the technical results despite the increased impact of catastrophic claims, totalling about 298 million. Finally, the contribution of the financial segment was positive (up 21.7% on equivalent consolidation area).

The operating return on equity was 11.9% (10.8% at the end of 2011) following an increase in the Group’s operating performance.

With reference to the last quarter of 2012, the Group operating result amounted to € 928 million (€ 827 million in the fourth quarter 2011). The growth was due to the trend of the property&casualty and financial segment, which more than offset the decline in the life business.

Operating result
      Fourth quarter
2012
Fourth quarter
2012
(€ mln)
31.12.2012 31.12.2011 2012 2011
Consolidated operating result 4,219 3,928 928 827
Net earned premiums 62,838 62,739 16,991 16,047
Net insurance benefits and claims -63,218 -55,036 -16,246 -15,997
Acquisition and administration costs -11,563 -1,1807 -3,076 -3,198
Net fee and commission income and net income from financial service activities 764 933 174 240
Net operating income from financial instruments at fair value through profit or loss 6,141 -2,905 1,678 1,200
Net operating income from other financial instruments  9,975 10,665 1,650 2,765
Interest income and other income 12,282 12,875 3,032 3,274
Net operating realized gains on other financial instruments and land and buildings (investment properties) 975 2,009 462 513
Net operating impairment losses on other financial instruments and land and buildings (investment properties) -2,003 -2,975 -1,481 -666
Interest expense on liabilities linked to operating activities -624 -586 -190 -167
Other expenses from other financial instruments and land and buildings (investment properties) -657 -658 -173 -196
Operating holding expenses -313 -294 -92 -80
Net other operating expenses(1) -404 -367 -151 -143

(1) At 31 December 2012 the amount is net of operating taxes for € 64 million (€ 64 million at 31 December 2011) and of non-recurring taxes shared with the policyholders in Germany for € 21 million (€ 46 million at 31 December 2011).