NEW YORK: Allianz SE (ALV.XE) said on Friday that its fourth-quarter net profit recorded a double-digit fall, hit by one-off costs.
The German insurer said net profit fell 22% to 1.43 billion euros ($1.78 billion) compared with the same period last year. Operating profit was EUR2.76 billion compared with about EUR3 billion a year earlier. Revenue increased 5.6% to EUR31.7 billion.
The company said the decline in profit was mainly due to one of charges such as a EUR135 million charge related to U.S. tax reforms and EUR210 million from the sale of Oldenburgische Landesbank.
Allianz’s U.S. fund manager Pacific Investment Management Co. posted third-party net inflows of about EUR43 billion in the fourth quarter. This is the sixth consecutive quarter with inflows. Pimco went through a difficult period in 2014 after the departure of co-founder Bill Gross, which sparked an outflow of money.
Allianz’s board proposed a dividend of EUR8 per share, a 5.3% increase from the EUR7.60 a share in 2016.
