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Allianz profit jumps despite cost of European floods

DPA Munich | Updated on March 12, 2018 Published on August 02, 2013

Europe’s biggest insurer Allianz posted a bigger-than-forecast rise in second quarter profit on Friday despite facing a 330-million-euro ($436.2-billion) bill for devastating floods in the region in June.

Net profit jumped 27 per cent to 1.59 billion euros in the three months to the end of June compared with 1.25 billion in the same period last year, the Munich-based company said.

Analysts had expected earnings to climb to 1.32 billion euros.

“Although we faced record floods in Central Europe, persistent low interest rates and erratic capital markets, our business continued to grow profitably,” said Allianz chief Michael Diekmann.

He said the group was maintaining its forecast for the year of an operating profit of 9.2 billion euros, plus or minus 500 million euros.

But he added that the company expects to see the result coming in at the upper end of the range.

The second-quarter operating profit rose 5.2 per cent to 2.37 billion euros, Allianz said. Revenue climbed 6 per cent to 26.8 billion euros.

A severe hail storm that hit southern Germany last week will cost the group about 200 million euros, Allianz said.

Published on August 02, 2013
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