Vienna Insurance Group expects to have boosted its 2011 pretax profit by 10 percent, and increased non-life premiums written by 5 per cent, the Austrian company said.
“Based on preliminary data, the forecast group profit (before taxes, consolidated) for the year 2011 will amount to nearly 560 million euros” (£468 million), it said in a statement.
“This corresponds to an increase by approximately 10 percent.”
The result was the “best in corporate history” despite the generally difficult economic situation, the company said in a statement.
It added it was considering increasing its dividend for last year.
“The Managing Board of Vienna Insurance Group considers proposing an increase in dividend for the year 2011 to the corporate bodies. This would result in a dividend yield of about 3.6 percent.
The group said in November it assumed but could not guarantee it would hit its 2011 profit goal, Reuters said.
In a preliminary development report for 2011, the company said “The management of Vienna Insurance Group continues its efforts to keep volatilities affecting earnings as low as possible, taking into account the economic environment, and to promote the organic growth in premiums.”
Unconsolidated premiums rose to 9 billion euros, including a 4.9 percent rise in non-life business to 5.1 billion and a 1.4 percent rise in life business to 3.9 billion.
It expected a 2011 combined ratio of around 97 percent, in line with its target and down from 98.4 in 2010.
Günter Geyer, CEO of Vienna Insurance Group (pictured), commented on the results, “Pursuing our consistent strategy, we have achieved a sizeable growth, as expected.
“Despite partly significant fluctuations of important CEE currencies, we report a substantial increase in premiums of 3.4 percent and are again performing above the market average.
He added, “The increase in profit before taxes by about 10 percent to nearly EUR560 million underlines the long-term favourable development of our Group”
