Business
2019 Annual Financial Results
2019 Annual Financial Results.
About this update from Standard Life Plc
[{"type":"text","content":"\n \n \n RNS Number : 3592F\n Phoenix Group Holdings PLC\n 09 March 2020\n \n \n \n \n Phoenix Group announces strong results and new cash generation target. ReAssure acquisition on track to complete mid-2020. \n \n \n Phoenix Group, Europe's largest life and pensions consolidator1, announces strong results for the year ended 31 December 2019.\n \n \n \n \n \n Financial highlights \n \n \n · \n Strong cash generation2 of £707 million in 2019 (2018: £664 million) exceeding the upper end of its cash generation target range of £600 million - £700 million3 for the year. \n \n \n · \n Solvency II surplus of £3.1 billion4 as at 31 December 2019 (£3.2 billion5 as at 31 December 2018). \n \n \n · \n Shareholder Capital Coverage Ratio of 161%4,6 as at 31 December 2019 (167%5 as at 31 December 2018) demonstrating continued resilience.\n \n \n · \n Group operating profit of £810 million in 2019 (2018: £708 million).\n \n \n · \n Proposed final dividend of 23.4p per share (2018 final dividend: 23.4p per share) with 2019 full year dividend of 46.8p per share (2018 full year dividend7: 46.0p per share).\n \n \n · \n New business in 2019 enhances the sustainability of our dividend by delivering £475 million of incremental long-term cash generation:\n \n \n · \n £240 million from UK Open and Europe businesses (2018 pro forma8: £280 million); and\n \n \n · \n £235 million from bulk purchase annuities (2018: £250 million).\n \n \n · \n Assets under administration of £248 billion as at 31 December 2019 (£226 billion as at 31 December 2018).\n \n \n · \n Fitch Ratings affirmed the Group's rating as A+9; \"positive\" outlook. Leverage ratio10 of 22% as at 31 December 2019 (22% as at 31 December 2018). \n \n \n \n \n \n Cash generation targets\n \n \n · \n 2020 cash generation target of £800 - £900 million.\n \n \n · \n 5 year cash generation target (2019 - 2023) increased by £0.1 billion to £3.9 billion for new business written during 2019.\n \n \n · \n Long-term cash generation guidance remains at £12 billion after 2019 cash remittance of £707 million, demonstrating offsetting nature of new business written in the year.\n \n \n \n \n \n Standard Life Assurance transition programme\n \n \n · \n Remains on track to deliver the £1.2 billion total synergy target.\n \n \n · \n Enlarged partnership with Tata Consultancy Services a...