UK insurer Aviva posted a better-than-expected 35% rise in annual operating profit and announced a £300m share buyback on Thursday, driven by a rise in life and general policy sales.
Profits for 2022 came in at £2.2bn against a company-compiled consensus of £1.75bn and a total dividend of 31p a share was declared, in line with expectations. Aviva upgraded dividend guidance to low-to-mid single digit growth.
The solvency ratio, a major measure of capital strength, fell to 212% from 244% the previous year. After a pension scheme payment and investor payouts, this fell to an estimated 196%, Aviva said.
General insurance gross written premiums increased 8% to £9.7bn, while the company’s fund arm Aviva Investors reported external net flows of £1.3bn, down from £3.3bn.
Reporting by Frank Prenesti at Sharecast.com
