Business
AIA delivers highest quarterly new business results; value of new business up 31 percent
AIA Group Limited (the Company) announced 31 per cent growth in value of new business (VONB) on constant exchange rates (CER) for the first quarter ended March 31, 2024. AIA also announced details of an enhanced capital management policy, including a US$2.0 billion addition to the existing US$10.0 billion share buy-back programme.
Growth rates are shown on a constant exchange rate basis.
VONB grew 31 per cent to a record quarterly high of US$1,327 million
Double-digit VONB growth across all reportable segments
Increase in VONB margin to 54.2 per cent
Annualised new premiums (ANP) increased by 26 per cent to US$2,449 million
Enhanced capital management policy that will deliver greater clarity on capital returns to shareholders
US$2.0 billion addition to existing share buy-back programme, bringing the total to US$12.0 billion
Lee Yuan Siong, AIA’s Group Chief Executive and President, said:
“AIA’s very strong VONB growth of 31 per cent in the first quarter of 2024 and increased capital returns to shareholders demonstrate the enduring power of our competitive advantages and financial discipline. We have delivered a record high quarterly VONB of US$1,327 million with double-digit VONB growth across all of our reportable segments, highlighting the strength and diversification of AIA’s businesses.
“We are also announcing a new and more definitive capital management policy which will result in higher annual distributions to shareholders through a combination of dividends and share buy-backs. In view of AIA’s very strong financial position and our confidence in our future operational and financial delivery, the Board has approved a US$2.0 billion addition to our existing share buy-back programme, which will bring the total to US$12.0 billion. These actions underscore our commitment to systematically return capital that is excess to our needs, whilst continuing to deliver organic new business growth at attractive returns.
“Today’s announcement demonstrates that AIA has the right strategic priorities, and that consistent execution will deliver the right results for all our stakeholders. Our focus continues to be on driving profitable new business growth that will make a material difference in shaping AIA’s financial future by delivering increased future earnings, free surplus generation and ever greater shareholder value.”
AIA delivered a 31 per cent increase in VONB to US$1,327 million in the first quarter of 2024, with double-digit growth from all our reportable segments. Premier Agency achieved 20 per cent growth in VONB, driven by an increase in the number of active agents and higher productivity. VONB for our partnership distribution grew by 70 per cent with strong performances from both bancassurance and retail independent financial adviser (IFA) channels.
AIA China achieved VONB growth of 38 per cent. This was driven by a very strong double-digit increase in VONB from Premier Agency and continued growth in bancassurance. We also delivered broad-based VONB growth across both our established operations and new branches. VONB margin increased further to 54.6 per cent from 52.7 per cent in the second half of 2023. For clarity, VONB growth is shown on a constant exchange rate basis, with no recalculation of the comparative 2023 VONB results for economic assumptions used in the first quarter of 2024, which would otherwise have further increased the reported VONB growth rate on a like-for-like basis.
Our differentiated Premier Agency model in Mainland China achieved excellent results in the first quarter of 2024 with over 20 per cent growth in both the number of new recruits and active new agents. Our compelling propositions, in particular our tax-deductible private pension products, supported a very strong increase in the number of new customers. Agency VONB margin was stable at around 60 per cent, supported by very strong double-digit growth in VONB from traditional protection and continued customer demand for our long-term savings products.
The Delegation of German Industry and Commerce in Sri Lanka (AHK Sri Lanka) proudly facilitated the first-ever Sri Lankan delegation’s participation at Drupa 2024, the world’s largest trade fair for the printing industry and technology. Held after an eight-year hiatus, Drupa 2024 was a landmark event, marking significant advancements and opportunities in the global printing industry.
AHK Sri Lanka played a pivotal role in organising and supporting the delegation, which comprised 17 members from the Sri Lanka Association for Printers (SLAP), representing eight companies from the commercial, newspaper, stationery printing, and packaging industries. This pioneering effort by AHK Sri Lanka not only showcased the diverse capabilities of Sri Lanka’s printing sector but also facilitated vital bilateral discussions with key stakeholders from the German printing industry.
Business
Unveiling Ayugiri: Browns Hotels & Resorts sets the stage for a new era in luxury Ayurveda Wellness
In a captivating reimagining of luxury wellness tourism, Browns Hotels & Resorts proudly unveiled the exquisite Ayugiri Ayurveda Wellness Resort Sigiriya. This momentous occasion, celebrated amidst a vibrant and serene grand opening on the 6th of June, heralds a new chapter in the Ayurveda wellness tourism landscape in Sri Lanka. Nestled amidst 54 acres of unspoiled natural splendour, Ayugiri features 22 exclusive suites and stands out as the only luxury Ayurveda wellness resort in the country offering plunge pools in every room, rendering it truly one-of-a-kind.
The grand opening of Ayugiri Ayurveda Wellness Resort was an enchanting event, where guests were captivated by the melodies of flutists and violinists resonating through Sigiriya’s lush landscapes. As traditional drummers and dancers infused the air with vibrant energy, Browns Hotels & Resorts’ CEO, Eksath Wijeratne, Kotaro Katsuki, Acting Ambassador for the Embassy of Japan and General Manager, Buwaneka Bandara, unveiled the resort’s new logo, marking a significant moment witnessed by distinguished guests from the French Embassy, Ayurveda and wellness enthusiasts along with officials from the Sigiriya area, LOLC Holdings and Browns Group.
“Our strategic expansion into wellness tourism with Ayugiri Ayurveda Wellness Resort Sigiriya symbolises a significant milestone for Browns Hotels & Resorts. Wellness tourism has consistently outperformed the overall tourism industry for over a decade, reflecting a growing global interest in travel that goes beyond leisure to offer rejuvenation and holistic well-being. By integrating the timeless wisdom of Ayurveda with modern luxury, we aim to set a new standard in luxury wellness tourism in Sri Lanka. Whether your goal is prevention, healing, or a deeper connection to inner harmony, Ayugiri offers a sanctuary for holistic well-being” stated Eksath Wijeratne.
Ayugiri encapsulates the essence of life, inspired by the lotus flower held by the graceful queens of the infamous Sigiriya frescoes. Just as the lotus emerges from the murky depths, untainted and serene,
Ayugiri invites guests on a journey of purity and rejuvenation, harmonised with a balance of mind, body and spirit, the essence of nature, echoes of culture and the wisdom of ancient Ayurvedic healing.
HNB General Insurance, one of Sri Lanka’s leading general insurance providers, has been honored as the Best General Bancassurance Provider in Sri Lanka 2024 by the prestigious Global Banking and Finance Review – UK.
The esteemed accolade underscores HNB General Insurance’s unwavering commitment to excellence and its outstanding performance in the field of bancassurance. Through dedication and hard work, the HNB General Insurance team has continuously endeavored to deliver innovative insurance solutions, cultivate strong relationships with banking partners, and provide unparalleled service to customers nationwide. This recognition is a testament to the team’s dedication and relentless pursuit of excellence in the bancassurance business.
“We are honored to receive this prestigious award, which reflects our team’s tireless efforts and dedication to delivering value-added insurance solutions and exceptional service through our bancassurance partnerships,” said Sithumina Jayasundara, CEO of HNB General Insurance. “This recognition reaffirms our position as a trusted insurance provider in Sri Lanka and motivates us to continue striving for excellence in serving our customers and communities.”
