NN Group reports 2Q17 results
- Operating result ongoing business was up from EUR 321 million in 2Q16 to EUR 404 million, of which Delta Lloyd contributed EUR 49 million. The operating result excluding Delta Lloyd increased by EUR 33 million
- Net result was down 28.2% from 2Q16 to EUR 240 million, of which Delta Lloyd contributed EUR 21 million. The net result excluding Delta Lloyd decreased by EUR 115 million, reflecting a provision related to ING Australia Holdings partly compensated by higher non-operating items
- Strong commercial momentum: APE was up 43.1% from 2Q16 at constant currencies to EUR 400 million, of which Delta Lloyd contributed EUR 66 million. VNB for 6M17 was up 69.4% to EUR 170 million driven by Japan Life and Insurance Europe
- Solvency II ratio of NN Group was 196% reflecting the acquisition of Delta Lloyd, positive market impacts, operating return and the deduction of the 2017 interim dividend
- Holding company cash capital was EUR 1,731 million; including EUR 820 million dividends received from subsidiaries and EUR 500 million capital injection into Delta Lloyd Life
- Interim dividend 2017 of EUR 0.62 per ordinary share or approximately EUR 209 million
Statement of Lard Friese, CEO
'Today we are reporting our first fully consolidated set of quarterly results for NN Group and Delta Lloyd, and I am pleased with the strong overall performance of the combined group in the second quarter of 2017. We have seen a healthy contribution from Delta Lloyd, and almost all our segments reported improved results compared with a year earlier, most notably in Japan Life and Insurance Europe. The results of our Netherlands Non-life business were impacted this quarter by a EUR 40 million strengthening in the Property & Casualty insurance liabilities. We continued to deliver cost efficiencies across our businesses, leading to a further reduction of our cost base. The Solvency II ratio was 196%, providing a solid foundation for the combined group going forward. The commercial momentum we saw earlier has been sustained, as both sales and the value of our new business increased significantly, and NN Investment Partners again attracted robust Third Party net inflows.
We have made steady progress in our first quarter together with Delta Lloyd, and a start has been made to integrate our businesses, with the aim of taking the combined group into the next phase of our journey. Integrating two organisations and business cultures requires effort and focus. Throughout this process, our employees remain committed to deliver an excellent customer service, further innovate our businesses and to contribute to the societies in which we operate.
We are excited to start this new chapter as a combined group, reporting a first strong set of results. While we bring together the best of our businesses and cultures to integrate NN and Delta Lloyd in the Netherlands and Belgium, our focus remains on disciplined capital management, a strong balance sheet, and on driving ahead with full energy to further improve the customer experience across our 18 markets.'
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