# Aviva boosts investor payouts after profit beat Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2023-03-09 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: Aviva boosts investor payouts after profit beat Meta Description: Aviva hiked payouts to investors, including a 300 million pound share buyback, after topping analyst estimates & offering strong capital return. URL: https://financedigest.com/aviva-boosts-investor-payouts-after-profit-beathtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2023-03-09t094125z3lynxmpej2808brtroptp4aviva-results-1736814347612-compressed.jpg) By Iain Withers LONDON (Reuters) -Aviva hiked its payouts to investors on Thursday, including a pledged 300 million pound ($355 million) [share buyback](https://www.financedigest.com/abb-to-launch-1-billion-share-buyback-on-april-3.html "ABB to launch billion share buyback on April 3"), after navigating a volatile year in its key markets amid pressure from activist investor Cevian to boost returns. The British insurer and asset manager said it had paid more than 5 [billion pounds to investors](https://www.financedigest.com/uk-investors-add-1-2-billion-to-equity-funds-in-march-calastone.html "UK investors add .2 billion to equity funds in March – Calastone") since 2021, including a final dividend of 20.7 pence per share for 2022. The wider [insurance sector has faced strain over the past year](https://www.financedigest.com/2020-the-paradoxical-year-that-has-reshaped-the-future-of-motor-insurance-and-related-sectors.html "2020: The paradoxical year that has reshaped the future of motor insurance and related sectors") due to claims inflation and the impact of more extreme weather. But Aviva’s 2022 earnings topped analyst estimates, [boosted by a jump in general insurance premiums](https://www.financedigest.com/mercedes-posts-rise-in-q1-sales-boosted-by-evs-premium-cars.html "Mercedes posts rise in Q1 sales boosted by EVs, premium cars"). The FTSE 100 company reported a 35% rise in 2022 operating profit from continuing operations to 2.2 billion pounds, up from 1.6 billion [pounds the previous year](https://www.financedigest.com/commonenergy-mistakes-costing-homeowners-hundreds-of-pounds-each-year.html "Commonenergy mistakes costing homeowners hundreds of pounds each year"). Aviva now [offers one of the strongest levels of total capital return](https://www.financedigest.com/bellways-kent-wharf-offers-excellent-returns-for-city-bonuses.html "Bellway’s Kent Wharf Offers Excellent Returns For City Bonuses") in the sector,” JPMorgan analysts said in a note. Aviva shares were up 2.9% at 0920 GMT. Since taking charge three years ago, Aviva CEO Amanda Blanc has raised [billions from selling business units across the globe and has sought to more aggressively cut costs](https://www.financedigest.com/australias-nuclear-submarine-plan-to-cost-up-to-245-billion-by-2055-defence-official.html "Australia’s nuclear submarine plan to cost up to 5 billion by 2055 -defence official"). The company made an accounting loss of 1.1 billion pounds, compared to a 2 billion pound [profit the previous year](https://www.financedigest.com/crop-merchant-louis-dreyfus-gets-profit-boost-in-volatile-year.html "Crop merchant Louis Dreyfus gets profit boost in volatile year"), which it blamed on adverse market movements in 2022. Aviva’s solvency ratio, a key measure of capital strength, came in at 212%, down from 244% the previous year. Following a [pension scheme](https://www.financedigest.com/how-britains-pension-scheme-hedge-became-a-trillion-pound-gamble.html "How Britain’s pension scheme hedge became a trillion pound gamble") payment and investor payouts, this fell to an estimated 196%, the company said. The company’s general insurance gross written premiums increased 8% to 9.7 billion pounds, while its fund arm Aviva [Investors reported](https://www.financedigest.com/influx-of-one-time-investors-swapping-stocks-for-bricks-and-mortar-reports-agency.html "Influx of ‘one-time’ investors swapping stocks for bricks and mortar reports agency") external net flows of 1.3 billion pounds, down from 3.3 billion the prior year. ($1 = 0.8440 pounds) (Reporting by Iain Withers Editing by Sinead Cruise and Mark Potter) Aviva [boosts investor payouts after profit](https://www.financedigest.com/inflation-boosts-jeronimo-martins-q4-profit-but-dents-margins.html "Inflation boosts Jeronimo Martins’ Q4 profit but dents margins") beat By Iain Withers LONDON (Reuters) -Aviva hiked its payouts to investors on Thursday, including a pledged 300 million pound ($355 million) [share buyback](https://www.financedigest.com/novartis-launches-new-11-billion-share-buyback.html "Novartis launches new billion share buyback"), after navigating a volatile year in its key markets amid pressure from activist investor Cevian to boost returns. The British insurer and asset manager said it had [paid more than 5 billion](https://www.financedigest.com/walmart-paid-most-of-1-billion-tax-for-phonepe-shifting-base-to-india.html "Walmart paid most of billion tax for PhonePe shifting base to India") pounds to investors since 2021, including a final dividend of 20.7 pence per share for 2022. The wider insurance sector has faced strain over the past [year due to claims inflation](https://www.financedigest.com/spains-inflation-to-be-lower-this-year-than-in-2022-minister.html "Spain’s inflation to be lower this year than in 2022 -minister") and the impact of more extreme weather. But Aviva’s 2022 earnings topped analyst estimates, [boosted by a jump](https://www.financedigest.com/orpea-shares-jump-on-q4-revenue-and-cash-boost.html "Orpea shares jump on Q4 revenue and cash boost") in general insurance premiums. The FTSE 100 company reported a 35% [rise in 2022 operating profit](https://www.financedigest.com/pizza-firm-dp-eurasia-delivers-profit-rise-evaluating-russian-business.html "Pizza firm DP Eurasia delivers profit rise, evaluating Russian business") from continuing operations to 2.2 billion pounds, up from 1.6 billion pounds the previous year. Aviva now [offers one of the strongest levels of total capital return](https://www.financedigest.com/bellways-kent-wharf-offers-excellent-returns-for-city-bonuses.html "Bellway’s Kent Wharf Offers Excellent Returns For City Bonuses") in the sector,” JPMorgan analysts said in a note. Aviva shares were up 2.9% at 0920 GMT. Since taking charge three years ago, Aviva CEO Amanda Blanc has raised billions from selling business units across the globe and has sought to more aggressively [cut costs](https://www.financedigest.com/gms-cruise-to-focus-on-cost-cuts-as-it-ramps-up-robotaxis.html "GM’s Cruise to focus on cost cuts as it ramps up robotaxis"). The company made an accounting loss of 1.1 billion pounds, compared to a 2 billion pound [profit the previous year](https://www.financedigest.com/cepsa-to-nearly-double-investments-over-next-3-years-as-profit-soars.html "Cepsa to nearly double investments over next 3 years as profit soars"), which it blamed on adverse market movements in 2022. Aviva’s solvency ratio, a key measure of capital strength, came in at 212%, down from 244% the previous year. Following a pension scheme payment and investor payouts, this fell to an estimated 196%, the company said. The company’s general insurance gross written premiums increased 8% to 9.7 billion pounds, while its [fund arm Aviva Investors reported](https://www.financedigest.com/bank-funding-for-renewables-stagnates-vs-oil-and-gas-report.html "Bank funding for renewables stagnates vs oil and gas – report") external net flows of 1.3 billion pounds, down from 3.3 billion the prior year. ($1 = 0.8440 pounds) (Reporting by Iain Withers Editing by Sinead Cruise and Mark Potter) Aviva boosts investor payouts after [profit beat](https://www.financedigest.com/coca-cola-hbcs-annual-profit-beats-warns-of-price-increases.html "Coca-Cola HBC’s annual profit beats, warns of price increases") By Iain Withers LONDON (Reuters) -Aviva hiked its payouts to investors on Thursday, including a pledged 300 [million pound](https://www.financedigest.com/uk-gives-bbc-world-service-20-million-pounds-to-support-english-language-broadcasting.html "UK gives BBC World Service 20 million pounds to support English language broadcasting") ($355 million) share buyback, after navigating a volatile year in its key markets amid pressure from activist investor Cevian to boost returns. The British insurer and [asset manager](https://www.financedigest.com/french-watchdog-fines-h2o-asset-management-executives-over-tennor-investments.html "French watchdog fines H2O Asset Management, executives over Tennor investments") said it had paid more than 5 billion pounds to investors since 2021, including a final dividend of 20.7 pence per share for 2022. The wider insurance sector has [faced strain over the past year](https://www.financedigest.com/eu-could-face-gas-shortage-next-year-iea-warns.html "EU could face gas shortage next year, IEA warns") due to claims inflation and the impact of more extreme weather. But Aviva’s 2022 [earnings topped analyst estimates](https://www.financedigest.com/kraft-heinz-plans-more-price-hikes-as-sales-earnings-beat-estimates.html "Kraft Heinz plans more price hikes as sales, earnings beat estimates"), boosted by a jump in general insurance premiums. The FTSE 100 company reported a 35% [rise in 2022 operating profit](https://www.financedigest.com/suedzucker-quarterly-profits-surge-73-5-despite-cost-rise.html "Suedzucker quarterly profits surge 73.5% despite cost rise") from continuing operations to 2.2 billion pounds, up from 1.6 billion pounds the previous year. Aviva now offers one of the strongest [levels of total capital return](https://www.financedigest.com/delta-sees-return-to-profit-as-travel-demand-hits-historic-levels.html "Delta sees return to profit as travel demand hits ‘historic’ levels") in the sector,” JPMorgan analysts said in a note. Aviva shares were up 2.9% at 0920 GMT. Since taking charge three years ago, Aviva CEO Amanda Blanc has raised billions from selling [business units across the globe and has sought to more aggressively cut](https://www.financedigest.com/lighting-maker-signify-cuts-2022-outlook-again-on-china-business-lighting.html "Lighting maker Signify cuts 2022 outlook again on China, business lighting") costs. The company made an accounting loss of 1.1 [billion pounds](https://www.financedigest.com/shell-to-evaluate-25-billion-pound-british-investments-after-windfall-tax.html "Shell to ‘evaluate’ 25 billion pound British investments after windfall tax"), compared to a 2 billion pound profit the previous year, which it blamed on adverse market movements in 2022. Aviva’s solvency ratio, a key measure of capital strength, came in at 212%, down from 244% the previous year. Following a pension scheme payment and investor payouts, this fell to an estimated 196%, the company said. The company’s general insurance gross written premiums increased 8% to 9.7 billion pounds, while its fund arm Aviva [Investors reported](https://www.financedigest.com/its-back-to-school-for-investors-as-uk-student-accommodation-less-vulnerable-to-brexit-shock-reports-jll.html "It’s back to school for investors as UK student accommodation “less vulnerable to Brexit shock” reports JLL") external net flows of 1.3 billion pounds, down from 3.3 billion the prior year. ($1 = 0.8440 pounds) (Reporting by Iain Withers Editing by Sinead Cruise and Mark Potter) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---