BARRIE CORNES | PANMURE GORDON
These were great figures pretty much across the board. The life operation was the star performer, driven in part by improving new business margins – specifically in the UK, where the 3.4 per cent margin was very impressive and benefited from a favourable product mix, with a shift to annuities and term assurance.
TONY SILVERMAN | S&P
Aviva’s geared balance sheet inflates the share price impact of markets and trading results. Also, it clearly is being managed for nearer-term IFRS results at a time when we expect this will further support the share price. We have therefore raised our target price and retain a “buy” recommendation.
EAMONN FLANAGAN | SHORE CAPITAL
This was a good profit performance from Aviva, with IFRS figures ahead of our and the top end of market estimates and upgrades to the capital generation in the year. However, we view the six per cent growth in dividend as disappointing given this performance, diluting the income attractions of the stock.