Vienna Insurance Group: Preliminary profit before taxes and dividend proposal 2015 as well as outlook for 2016

16/03/2016 20:47

In a challenging environment Vienna Insurance Group achieved a premium volume of more than
EUR 9 billion. Premiums in property and casualty (+0.8%), health (+3.0%) and regular-premium life business (+4.9%) increased. The due to the current low interest rate environment exercised restraint in the single-premium business (-15.7%) led to an overall decrease of 1.4% in written premiums of the Group.

The preliminary profit before taxes for the business year 2015 is around EUR 172 million. Apart from the decreased current financial income and the impairment done in the third quarter 2015, additional impairments of intangible assets impacted this result. They evolved from changes of the cash generating units in the course of the extension of the management board, from a more cautious view on developments in Romania and from tax changes in Poland.

The dividend policy of Vienna Insurance Group foresees the distribution of at least 30 % of net profits after minorities. Management decided in today’s board meeting to suggest to the statutory bodies a dividend of EUR 0.60 per share for the business year 2015. This means a pay-out ratio of around 78 %.

For the business year 2016 VIG plans at least to double the pre-tax result 2015 and targets a profit before taxes of up to EUR 400 million.

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