Bond.az – Aviva Plc reported first-quarter 2026 wealth net flows up 49% year-on-year, while total general insurance gross written premiums came in 8% below Goldman Sachs estimates.
UK commercial lines premiums fell 8% year-on-year, in what Goldman Sachs described as "a bit of a mixed bag."
Wealth net flows of £3.35 billion were 25% above the Goldman Sachs estimate of £2.67 billion.
Workplace flows of £1.99 billion were up 71% year-on-year, and platform net flows of £1.59 billion were up 24% year-on-year.
Total general insurance GWP of £3.43 billion was 8% below the Goldman Sachs estimate of £3.72 billion.
UK commercial lines premiums of £834 million were 8% lower year-on-year and 6% below the estimate, reflecting "deliberate underwriting actions to manage profitability in softer market conditions."
UK personal lines GWP of £1.53 billion was 14% below the estimate, though Goldman Sachs attributed the gap to base-year assumptions. Canada's GWP of £907 million was 1% above estimate.
The UK undiscounted combined operating ratio came in at 94.8%, 80 basis points worse than estimated, while Canada's COR of 91.8% was 2.5 percentage points better.
Aviva reiterated its full-year 2026 guidance of a UK and Ireland COR below 94% and a Canada COR approaching 94%.
In retirement, bulk purchase annuity flows of £619 million exceeded the estimate of £260 million. However, the new business margin of 1.2% was 2.3 percentage points below the 3.5% estimate.
Protection and health APE of £113 million was 6% below the estimate. VNB fell 16% to £54 million, below Citi's estimate.
The Solvency II ratio of 171% was in line with estimates. Aviva expects the ratio to be above 180% by full-year 2026.
Goldman Sachs cut its 2026-2030 EPS estimates by an average of 0.7% and reduced its 12-month price target by about 1% to 756 pence.
