Aviva sees FY23 group operating profit up 5%-7%

The company states: “Our positive momentum continued in the first half of 2023 with a strong set of results, and our diversified business model positions us well to navigate the current macroeconomic environment. This reinforces our confidence in the prospects, financial targets and outlook for the Group. In General Insurance we remain focused on pricing appropriately for the ongoing inflationary environment. Overall, we expect the rating environment to remain favourable across both commercial and personal lines. We expect the underlying COR to benefit from the earn through of rating actions already taken and still to come in the second half. However, we wouldn’t expect the favourable weather and PYD experience of the first half to necessarily repeat. In Insurance, Wealth & Retirement we expect to see continued growth. We anticipate continued momentum in BPAs in the second half as a growing number of pension schemes look to de-risk. In Wealth, our Workplace business will continue to offer strong growth opportunities while market conditions present a near-term challenge in Adviser Platform. We continue to expect strong demand for Protection and Health products. We expect full year 2023 Group operating profit,1 to grow between 5% to 7% from GBP 1,350m in 2022. We are on track to exceed our Solvency II operating own funds generation target of GBP 1.5bn per annum by 2024 and our cash remittance target of greater thanGBP 5.4bn cumulative (2022-24). We expect to deliver our target of GBP 750m gross cost reduction by 2024 one year early.”