- Aviva’s adjusted operating profit for the first half of the year was GBP875 million, beating analysts’ estimates of GBP824 million.
- IFRS profit after tax came in at GBP654 million, also surpassing the estimate of GBP633.8 million.
- The combined operating ratio was 95.4%, compared to last year’s 94.8% and the estimated 94.4%.
- Solvency II ratio stood at 205%, exceeding the estimated 202.2%.
- An interim dividend per share of 11.9p was declared, up from 11.1p last year and higher than the estimated 11.8p.
- Aviva reiterated its goal of achieving £2 billion in operating profit and £1.8 billion in Solvency II own funds generation by 2026.
- The company continues to expect cash remittances to surpass £5.8 billion cumulatively from 2024 to 2026.
- The underlying Group combined operating ratio is expected to benefit from pricing actions taken in 2023 and so far in 2024.
- Aviva anticipates further growth in its Health business during the second half of the year, although Protection growth is expected to moderate.
- Analysts’ recommendations include 11 buys, 6 holds, and 2 sells.
A look at Aviva Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 5 | |
| Growth | 5 | |
| Resilience | 5 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 4.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Aviva PLC, an international insurance company, has been given Smart Scores that indicate a positive long-term outlook. With high scores in Dividend, Growth, Resilience, and Momentum, the company appears well-positioned for future success. While the Value score is moderate, Aviva’s strong performance in other key areas suggests stability and potential growth. This bodes well for investors looking for a company with a solid dividend yield, strong growth prospects, and resilience in challenging market conditions.
Aviva PLC, known for providing a wide range of insurance services and financial products, has received favorable ratings across various critical factors. The company’s focus on delivering high dividends, sustainable growth, operational resilience, and positive momentum reflects its commitment to long-term success. Investors may view Aviva as a reliable investment option given its robust performance in key areas essential for sustained growth and profitability in the insurance and financial services industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
