7th May 2015 06:33
LONDON (Alliance News) - Aviva PLC Thursday reported higher levels of new business, bolstered by operations in the UK & Ireland, Europe and Asia.
The group said its integration of Friends Life is ahead of schedule, following the GBP5.6 billion acquisition of its former rival.
In a statement, the life insurer and FTSE 100 constituent said value of new business increased to GBP247 million in the three months ended March 31, compared with GBP224 million in the corresponding quarter of the prior year.
Value of business - which refers to the present value of future profits from new business
written at the point of sale - grew in Asia, the UK and Ireland, France, Italy, Spain and Turkey but fell in Poland.
Chief Executive Mark Wilson said the insurer's turnaround is not only on track but ahead of schedule.
"It's been a busy quarter. We have completed the acquisition of Friends Life and at the same time delivered an improvement in our key metrics. Value of new business is up, our general insurance combined operating ratio has improved and our IFRS book value has grown over the quarter. In the face of unpredictable global markets, we continue to improve the group's resilience," Wilson said.
The chief executive said "detailed plans" to integrate Friends Life into the group are "well underway". The project is "challenging and complex" but Wilson said he is confident of "timely" progress.
"We expect 2015 to be a year of continued delivery of our turnaround plan," Wilson said.
By Samuel Agini; [email protected]; @samuelagini
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