Financial highlights
Balancing capital consumption and value optimisation
Life APE new business sales
New business profit
Free surplus investment in new business
Asia
US
UK
| Asia | US | UK | Group | |||||
|---|---|---|---|---|---|---|---|---|
| 2012 | 2011 | 2012 | 2011 | 2012 | 2011 | 2012 | 2011 | |
| New business profit margin | 67% | 65% | 60% | 64% | 37% | 35% | 58% | 58% |
| Payback period | 3 years | 3 years | 2 years | 1 year | 3 years | 4 years | 2 years | 2 years |
| Internal rate of return | >20% | >20% | >20% | >20% | >20% | >20% | >20% | >20% |
Shareholder-backed policyholder liabilities
- Asia
- US
- UK
Other movements
IFRS operating profit
External funds under management
Total asset management net inflows
M&G net inflows
M&G2
Other asset management business- Total asset management
IFRS operating profit3, 4, 5
EEV operating profit
Dividend per share relating to the reporting year
Basic earnings per share – based on operating profit after tax and non-controlling interest
EEV
IFRS3
Underlying free surplus generated6
IGD capital before final dividend7, 8
Business unit net remittances9
Holding company cash balances
EEV shareholders' funds
IFRS shareholders' funds3
- Return on shareholders' funds10, 11
- Including goodwill
- Excluding goodwill
Notes
- Defined as movements in shareholder-backed policyholder liabilities arising from premiums (net of charges), surrenders, maturities and deaths.
- 2012 includes M&G’s 49.99 per cent proportionate share in the metrics above of PPM South Africa after the divestment transaction. 100 per cent of these metrics were included in 2011.
- Comparatives adjusted for retrospective application of the accounting policy change for deferred acquisition costs as discussed in note A5 of the IFRS financial statements.
- 2012 operating profit includes one-off gain of £51 million arising on sale of Group’s interest in China Life Insurance Company of Taiwan.
- 2011 included accelerated deferred acquisition costs (DAC) amortisation of £190 million which has not recurred.
- Underlying free surplus generated comprises underlying free surplus generated from the Group’s long-term business (net of investment in new business) and that generated from asset management operations.
- Estimated.
- From March 2013 the basis of calculating Jackson’s contribution to the Group’s IGD surplus will change, further detail can be found in the ‘Capital position, financing and liquidity’ section of the Chief Financial Officer’s Overview.
- Remittances from Asia in 2012 include net remittance of £27 million, representing cash from the sale of the Group’s holding in China Life Insurance Company in Taiwan offset by repayment of funding contingent on future profits of the Hong Kong life insurance operations.
- IFRS operating profit after tax and non-controlling interests as percentage of opening IFRS shareholders’ funds. Comparatives adjusted for retrospective application of the accounting policy change for deferred acquisition costs as discussed in note A5 of IFRS financial statements.
- EEV operating profit after tax and non-controlling interests as percentage of opening EEV shareholders’ funds.
