ageas SA/NV

Ageas reported H1 2026 net operating result of EUR 776 million, up 6% year over year, and ROE of 15.8%. Life net operating result was EUR 629 million, up 17% year over year, while Non-Life net operating result was EUR 240 million, resilient despite EUR 180 million of weather-related claims. The group combined ratio was 95.2% versus 92.1% last year, and the Life guaranteed margin in Belgium was 106 basis points, up 14 basis points. CSM rose from EUR 9.4 billion at year-end 2025 to EUR 11.1 billion at end-June. Operational capital generation was EUR 1.1 billion; operational free capital generation was EUR 484 million. Comprehensive equity increased to EUR 19.7 billion, shareholders’ equity was EUR 10.2 billion, cash stood at EUR 1.2 billion, and the Solvency II ratio was 195%. Management raised full-year 2026 net operating result guidance to above EUR 1.95 billion, including EUR 450 million of net capital gain and a roughly EUR 30 million lower contribution from Malaysia and the sale of Etiqa, and now expects cash upstream above EUR 1.4 billion, versus original guidance of EUR 1.2 billion. They also reiterated an interim dividend of EUR 1.5 per share in December.

Hans De Cuyper framed the half as evidence that Ageas’ diversified model is working, citing strong Life momentum, solid Non-Life underwriting, and cash generation even after weather losses. He emphasized that the Malaysia sale was a standalone decision and did not change the group’s strategic focus on Europe and Asia, and he reiterated confidence in Asia’s long-term growth potential, especially China. He also highlighted Elevate27 progress, including more than 300 AI/data use cases and continued integration of esure.

Wim Guilliams focused on the bridge from earnings to capital, noting EUR 776 million net operating result, EUR 180 million weather impact, and the lift in CSM to EUR 11.1 billion. He explained that the reported 95.2% combined ratio was heavily affected by weather, while underlying Non-Life margins remained strong, and he gave specific solvency drivers: insurance operations added 12 percentage points, while Taiping Pension, FRESH grandfathering ending, debt repayments, and the Belgian sovereign downgrade reduced the ratio. He also said cash of EUR 1.2 billion was lower mainly because of dividends and the AG Insurance step-up, but full-year remittances should exceed EUR 1.4 billion, with more than EUR 1.1 billion already received in H1.

Analysts pressed management on China growth, higher cash remittances, capital return options, UK motor pricing, reserve releases, Portugal, and the Ethias opportunity. Management said China is still growing technically, but the market is shifting toward higher-quality business and more disciplined commissions under Circular 65; they also said the stronger China and Thailand dividends include some one-offs and should not be extrapolated mechanically. On capital, Ageas said it will first fund growth opportunities and dividend commitments, with share buybacks only if excess capital remains and growth options are limited. On Non-Life reserving, management said prior-year development was healthy, H1 is mechanically stronger than H2, and they still see the group as on track toward a 92% combined-ratio path, assuming weather normalizes.