Ageas SA/NV

Ageas reported H1 2026 net operating result of EUR 776 million, up 6% year over year, with Life net operating result of EUR 629 million, up 17%, and Non-Life net operating result of EUR 240 million despite about EUR 180 million of weather-related claims. ROE was 15.8%, the reported group combined ratio was 95.2% versus 92.1% last year, and the Life CSM balance rose from EUR 9.4 billion at year-end 2025 to EUR 11.1 billion at the end of June. Comprehensive equity increased by EUR 2.2 billion to EUR 19.7 billion, shareholders’ equity was EUR 10.2 billion, and Solvency II stood at 195%. Management raised full-year 2026 net operating result guidance to above EUR 1.95 billion, with the guidance including the EUR 450 million net capital gain, around EUR 30 million lower contribution from Malaysia/Etiqa, and an assumption of around 3 percentage points weather impact on the combined ratio. Cash upstream is now expected to be above EUR 1.4 billion for 2026, and the interim dividend remains EUR 1.5 per share in December.

Hans De Cuyper emphasized that the quarter showed broad-based growth and resilience across Life, Non-Life, Europe, and Asia, and he said the company remains committed to its strategy of being focused on Europe and Asia. He highlighted strategic execution on Elevate27, including the 25% step-up to full ownership of AG Insurance, the acquisitions of Saga and esure, the Etiqa transaction, and a new stake in Taiping Pension. His tone was confident on long-term growth in Asia, especially China, while also stressing disciplined capital allocation and openness to buybacks only if excess capital persists after growth opportunities and dividends.

Wim Guilliams focused on the financial bridge behind the results: H1 net operating result was EUR 776 million, weather added roughly EUR 180 million of claims cost, and the reported combined ratio was 95.2% versus 92.1% last year. He said the Life business benefited from an excellent insurance result, with Belgium Life margin at 106 basis points, up 14 basis points, and the Life CSM rose to EUR 11.1 billion. On capital, he cited comprehensive equity of EUR 19.7 billion, cash of EUR 1.2 billion, Solvency II of 195%, operational capital generation of EUR 1.1 billion, and full-year cash remittances expected above EUR 1.4 billion, with more than EUR 1.1 billion already received in H1. He also broke down the solvency movement as being affected by Taiping Pension, FRESH grandfathering ending, debt repayments, and the Belgian sovereign downgrade, partly offset by insurance operations adding 12 points.

Analysts pressed management on China growth, cash remittances, capital deployment, buybacks, and the UK motor market. Management said it would not sell China, argued China’s business is still growing in technical liabilities and is shifting toward higher-quality business under tighter regulation, and noted that some of this year’s higher upstream from China and Thailand reflects one-offs and tax effects. On capital allocation, management said growth opportunities come first, dividend commitments second, and buybacks are possible only if excess capital remains; on the UK, they said pricing was up 9% to 10% in H1 versus a market increase of 4% to 5%, with claims inflation still high. They also said the company remains interested in Ethias and other participation opportunities, but timing is unclear and could be later than 2027 or never.