Legal & General delivers strong results, dividend up 35%.
14 March 2012
- Full year dividend up 35% to 6.40p per share (2010: 4.75p per share)
- Operational cash generation up 12% to £940m (2010: £840m)
Net cash generation up 11% to £846m (2010: £760m)
- Worldwide sales up 7% to £1.9bn APE (2010: £1.8bn APE)
- Operating profit £1,056m (2010: £1,002m)
IFRS profit before tax £956m (2010: £1,092m)
- EEV operating profit £1,469m (2010: £1,224m)
EEV per share up 11% to 147p (2010: 132p)
- IGD surplus up to £3.8bn after dividend (2010: £3.7bn)
- IFRS return on equity 14.5% (2010: 18.2%)
Tim Breedon, Group Chief Executive, said:
"Legal & General had a strong 2011. All four of our operating business divisions - Risk, Savings, Investment management and International - delivered increased sales, cash generation and profits. Our balance sheet is strong, and our outlook for 2012 positive.
Following the combination of growth and strong cash generation the Board is recommending a full year dividend of 6.40p per share - a 35% increase. At this enhanced level, the dividend is 2.25 times covered by net cash generation.
Legal & General has significant scale: seven million customers and assets under management of over £370bn. Our broad product range, diversified distribution and ability to deliver will enable us to grow the business, further enhance shareholder value, and take advantage of the opportunities created in a fast-changing market."
|Financials per share||2011||2010|
|Average number of shares (m)||5,828||5,827|
|Net cash generation per share (pence)||14.52||13.04|
|Operating profit earnings after tax per share (pence) (basic)||13.50||12.89|
|IFRS earnings per share (pence) (basic)||12.46||14.07|
|Full year dividend per share (pence)||6.40||4.75|
Read the full press release (PDF)
Notes to editors
The Preliminary Results for the year ended 31 December 2011 do not constitute statutory accounts as defined in section 434 of the Companies Act 2006. The Group's statutory accounts for 2010 and 2011 have been audited by PricewaterhouseCoopers LLP and their reports were unqualified and did not contain a statement under section 498(2) or (3) of the Companies Act 2006. The Group's 2010 statutory accounts have been filed with the Registrar of Companies.
Forward looking statements
This document may contain certain forward-looking statements relating to Legal & General Group, its plans and its current goals and expectations relating to future financial condition, performance and results.
By their nature forwardlooking statements involve uncertainty because they relate to future events and circumstances which are beyond Legal & General's control, including, among others, UK domestic and global economic and business conditions, market related risks such as fluctuations in interest rates and exchange rates, the policies and actions of regulatory and Governmental authorities, the impact of competition, the timing impact of these events and other uncertainties of future acquisition or combinations within relevant industries.
As a result, Legal & General Group’s actual future condition, performance and results may differ materially from the plans, goals and expectations set out in these forward-looking statements and persons reading this announcement should not place reliance on forward-looking statements.
These forward-looking statements are made only as at the date on which such statements are made and Legal & General Group Plc does not undertake to update forward-looking statements contained in this document or any other forward-looking statement it may make.
For more information please contact:
Group Corporate Affairs Director
t: +44 (0) 2031 242090
Head of Group Corporate Communications
t: +44 (0) 2031 242095
m: +44 (0) 7515 324001