Legal & General Group PLC (LSE:LGEN) remains confident of hitting its targets after boosting the dividend by 5% and reporting better-than-expected operating profits for the first half.
“LGRI and LGC performed strongly, LGIM results stabilised, and Retail's performance - while impacted by competition in some areas - was bolstered by growing annuity sales and progress in US protection,” outgoing chief executive Sir Nigel Wilson said.
Operating profit in the six months to 30 June 2023 was £941 million, down 2% from last year’s £958 million, but above City hopes for around £834 million, while EPS fell to 5.16p from 9.52p.
The insurer said its solvency II coverage ratio was 230% compared to 212% the year before with solvency II operational surplus generation of £947 million, little changed from £946 million the year before.
The interim dividend was increased by 5% to 5.71p from 5.44p and L&G intends to grow the dividend at 5% per annum to 2024.
"We remain on track to achieve our five-year ambitions and deliver attractive returns for our shareholders,” Wilson added.