Generali Group CEO, Philippe Donnet, said: “The excellent first half of 2023 results continue to prove the effectiveness of our 'Lifetime Partner 24: Driving Growth' strategy and demonstrate that Generali is increasingly profitable, diversified and resilient, with a strong financial position. At the halfway point of the plan, we are fully on track to meet our ambitious targets, confirming that the Group has the right set-up to navigate the continually evolving macroeconomic and geopolitical scenario. In addition, the recent acquisitions of Liberty Seguros and Conning, which will reinforce our insurance leadership in Europe and enhance our global asset management platform, will further strengthen our Group. This set of results has been achieved thanks to the efforts of all of our colleagues and agents. They represent the solid foundation to continue achieving sustainable growth, creating value for all of our stakeholders.”
Life net inflows were EUR -877 million, with net outflows from savings partially compensated by positive net inflows in both unit-linked and protection. This is in line with the Group's strategy to reposition its Life business portfolio and it also reflects the industry trends observed in the banking channels in Italy and in France.
The operating result grew strongly to reach EUR 3,721 million (+28.0%), also thanks to the diversification of profit sources, and including the contribution from prior acquisitions.
In particular, the operating result of the P&C segment increased to EUR 1,853 million (+85.7%). The Combined Ratio improved to 91.6% (-5.4 p.p.), driven by a lower loss ratio.
The Life operating result was solid at EUR 1,813 million (-3.5%) and the New Business Margin increased to 5.81% (+0.31 p.p.).
The operating result of the Asset & Wealth Management segment was EUR 498 million (+1.3%), with a strong contribution from Banca Generali.
The operating result of the Holding and other businesses segment improved to EUR -125 million (EUR -149 million 1H2022).
The adjusted net result3 substantially increased to EUR 2,330 million (EUR 1,448 million 1H2022). This was due primarily to the improved operating result, which benefited from diversified profit sources, a non-recurring capital gain related to the disposal of a London real estate development (EUR 193 million net of taxes), while also reflecting the impact from EUR 97 million in impairments on Russian fixed income instruments recorded at 1H2022.
The Group’s shareholders' equity increased to EUR 26.7 billion (+0.2%), thanks to the net result for the period, partially offset by the dividend payment.
The Contractual Service Margin (CSM), which is the balance sheet item introduced by IFRS 17 and consists of the deferred discounted future profits of the in-force business, rose to EUR 32.1 billion (EUR 31.0 billion FY2022).
The Group’s Total Assets Under Management were EUR 631.0 billion (+2.6% compared to FY2022) reflecting the positive market effect.
The Group confirmed its extremely solid capital position, with the Solvency Ratio at 228% (221% FY2022).
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