Record revenue at Allianz despite catastrophe costs

INSURANCE giant Allianz posted a 22.4 per cent jump in net income for the year
yesterday, although analysts grumbled that the 9.8 per cent dividend hike was not enough.

Revenues rose 9.3 per cent to an all-time high of €106.5bn (£91.1bn) with strong sales in the UK and South America outweighing a drag from the US, France and Germany.

The impact of natural catastrophes including storms and earthquakes tripled in 2010 to €1.3bn for the German firm.

“Uncertainty factors will continue to be significant: volatility in the financial markets, indebtedness of government budgets, concerns about inflation,” chief executive Michael Diekmann said.

The dividend rise to €4.50 was below consensus estimates. “I think there had been some expectation that if they had a good end to the year maybe they could do a little bit more,” said Collins Stewart analyst Ben Cohen.