Lisbon, Portugal – Ageas, the largest insurance company in Belgium, has seen significant developments in recent times. Following the Global Financial Crisis, which led to the dismantling and sale of Fortis Bank to BNP Paribas, the French banking conglomerate has increased its stake in Ageas to 9.8%. This move has sparked speculation about the possibility of BNP Paribas acquiring Ageas entirely. Currently, BNP Paribas already owns 25% of AG Insurance, the operating company of Ageas, with Ageas holding the remaining 75%.

Ageas, listed on Euronext Brussels with the ticker symbol AGS, has reported robust financial performance in the first half of the year. With a record premium inflow exceeding 10.2 billion euros, driven by the non-life division, the company’s exposure to the Asian market, comprising nearly 60% of the gross inflows, sets it apart from its European counterparts in a similar market cap range around 10 billion euros.

The company’s net insurance revenue reached almost 3.6 billion euros, with positive results in net investment income. Despite a slight decrease in the net insurance result due to reinsurance differences, Ageas recorded a combined contribution of 1.26 billion euros, up from 1.2 billion euros in the first half of the previous year. Furthermore, the company’s solid financial performance led to a pre-tax result of 862 million euros and a net profit of 740 million euros, with a substantial portion attributable to shareholders.

Looking ahead, Ageas anticipates an increase in full-year earnings per share to exceed 6.50 euros, building upon its progressive dividend policy. The company has announced a stable interim dividend of 1.50 euros per share, with expectations of a 3%-5% dividend increase for the full year. Moreover, Ageas plans to initiate a 200 million euros share buyback program to enhance shareholder value.

With a strong balance sheet and healthy solvency ratio of 219%, Ageas remains well-positioned in the insurance industry. The company’s strategic focus on Asia, combined with dividend increases and share buybacks, underscores its commitment to delivering value to shareholders. As Ageas continues to demonstrate resilience and growth potential, investors may find the company an attractive long-term investment opportunity.