Allianz SE

Allianz reported first-half total business volume of EUR 99 billion, up 4.3% year over year. Operating profit was EUR 9.4 billion, up 9%, and shareholder core net income rose 9% while core EPS increased 10%, ahead of the 7% to 9% target range. Solvency stood at 225%, the highest level since year-end 2018. Segment highlights included P&C operating profit of EUR 4.9 billion, up 9%, and record asset management net inflows of EUR 84 billion. Management kept full-year operating profit outlook at EUR 17.4 billion plus/minus EUR 1 billion, saying it was too early to revise despite the strong first half; it also said it is well on track for its 2026 targets.

Oliver Bate said Allianz is performing well despite a volatile backdrop marked by geopolitics, AI disruption, inflation pressure, and softening commercial insurance conditions. He emphasized three strategic priorities: smart growth, productivity gains through AI and process improvement, and further resilience via a very strong balance sheet and disciplined capital deployment. He also framed recent M&A in Singapore and the PIMCO minority buyout as deliberate steps to build a stronger wealth and retirement platform, especially in Southeast Asia.

Claire-Marie Coste-Lepoutre highlighted that the company delivered its highest first-half operating profit, with EUR 9.4 billion overall, EUR 4.9 billion in P&C, and strong momentum across Life/Health and Asset Management. She pointed to record asset management inflows of EUR 84 billion, 93% of assets outperforming on a 3-year basis, and 225% solvency as evidence of substantial capital flexibility. She also said operating capital generation was 11% for the half year and that the group is comfortable funding the newly announced M&A within current capacity.

Analysts pressed management on why Allianz did not raise guidance after a strong first half; the answer was that the company still sees second-half risks from FX, natural catastrophes, and market moves, so it is keeping operating profit guidance at EUR 17.4 billion plus/minus EUR 1 billion. Questions on Singapore acquisitions were answered with the explanation that Allianz has been systematically building out Southeast Asia for over a decade and is now closing an Asia presence gap, with life insurance and asset management being run as an integrated wealth proposition. On wildfire and cat risk, management said there are major protection gaps and affordability issues, that some areas are effectively uninsurable at the right price, and that Allianz is working with public and private institutions on prevention and preparedness.