In the first half of the year, Generali reported gross premiums of 50.1 billion euros, marking a 20.4% increase. This growth was driven by significant developments in the Life (+26.6%) and Non-Life (+10.5%) segments. Net inflows in the Life segment were positive, amounting to 5.1 billion euros, compared to a negative 870 million euros in the previous period. Operating income stood at 3.7 billion euros, up by 1.6%, while normalized net profit was 2 billion euros, showing a 13.1% decrease due to non-recurring earnings and other one-off events in the first six months of 2023. Excluding these effects, the normalized net profit remained stable.
Generali maintains a strong capital position, with a Solvency Ratio of 211% as of the end of June (220% for the entire year 2023), which includes the acquisition of Liberty Seguros and the recently announced 500 million euro buyback.
“Our results confirm Generali’s resilience, the effectiveness of our strategy, and our ability to create value for all stakeholders even in a complex macroeconomic and geopolitical environment,” commented Generali Group CEO Philippe Donnet on the half-year results.
The primary contributors to the operating profit were the positive developments in the Life and Asset & Wealth Management segments, thanks to increasingly diversified profit sources. The operating result for the Life segment increased to 1.955 billion euros (+7.8%), with the new business margin at 4.31% (-1.51 percentage points). The Non-Life segment’s operating result was 1.728 billion euros (-6.7%), with a combined ratio of 92.4% (+0.8 percentage points), reflecting an increase in the frequency of natural disasters and a lower benefit from discounting. The Asset & Wealth Management segment’s operating result grew to 566 million euros (+19.4%), driven by the continuous strong performance of Banca Generali and the positive result of asset management, which also benefited from the consolidation contribution of Conning.
“Our evolution as a global player in the insurance and asset management sector continues, thanks to an increasingly diversified business profile,” highlighted Donnet. “Our absolute focus on cash generation and capital strength allows us to launch the 500 million euro buyback, demonstrating our commitment to increasing shareholder remuneration. With only a few months left before the conclusion of the ‘Lifetime Partner 24: Driving Growth’ plan, we are fully on track to achieve all our ambitious objectives, thanks to the dedication of all our colleagues and agents. In the coming months, I will continue to work with our top management on the new group strategy, which we will present at the Investor Day on January 30, 2025, in Venice.”
