Setting new standards - Friends Life

More documents

Recommendations

Info

CORPORATE ANNUAL REVIEW GOVERNANCE Business segments financial highlights UK Life & Pensions £4,162m Total new business up 30% (Note 1) £108m Contribution to profits from new business up 69% £315m EEV underlying profit before tax down 4% (Note 2) 7.9% Return on embedded value down from 9.4% Total Life & Pensions £7,074m Total new business up 31% (Note 1) £204m Contribution to profits from new business up 42% £434m EEV underlying profit before tax unchanged (Note 2) £325m IFRS underlying profit before tax up 136% (Note 3) 9.9% Return on embedded value down from 11.2% £1.8bn Excess capital resources over requirements unchanged £2,912m Total new business up 32% (Note 1) £119m EEV underlying profit before tax up 12% (Note 2) £96m Contribution to profits from new business up 20% 19.8% Return on embedded value down from 21.5% £248m Net revenues down 7% 12.8p £89m Underlying profit before tax down 18% (Note 3) 36.5% Operating margin down from 44.1% Underlying earnings per share down 19% (Note 3) International Life & Pensions £104bn Funds under management down 21% Asset Management* *F&C Asset Management plc, a 52% owned listed subsidiary 2 Friends Provident Annual Report & Accounts 2006
Group financial highlights Group £509m EEV underlying profit before tax down 3% (Note 2) £398m EEV profit before tax down 34% 16.4p EEV underlying earnings per share up 1% (Note 2) 14.6p EEV basic earnings per share down 31% £400m IFRS underlying profit before tax up 79% (Note 3) £491m IFRS profit before tax from continuing operations up 34% 17.9p IFRS underlying earnings per share up 103% (Note 3) 13.1p IFRS basic earnings per share from continuing operations up 108% 7.85p Dividend per share up 2% (Note 4) 2.3 times Dividend cover up from 1.1 times (Note 5) £1.73 Pro forma embedded value per share up 5% 19.0% Total Shareholder Return (FTSE 100 14.4%) (Note 6) Note 1 New business sales are reported on the Present Value of New Business Premiums (PVNBP) basis which is defined as single premiums plus the expected present value of new business regular premiums. Note 2 EEV underlying profit/earnings per share is based on expected investment return and excludes: (i) amortisation and impairment of Asset Management acquired intangible assets (ii) effect of economic assumption changes (iii) non-recurring items; and is stated after deducting interest payable on Step-up Tier one Insurance Capital Securities (STICS). Note 3 IFRS underlying profit/earnings per share is based on longer-term investment return and excludes: (i) policyholder tax (ii) returns attributable to minority interests in policyholder funds (iii) non-recurring items (iv) amortisation and impairment of acquired intangible assets and present value of acquired in-force business; and is stated after deducting interest payable on Step-up Tier one Insurance Capital Securities (STICS). Note 4 Dividend per share includes the interim dividend paid in November 2006 and the proposed final dividend payable in May 2007, which is subject to approval at the Annual General Meeting. Note 5 Dividend cover is based on IFRS underlying profit after tax and minority interests. Note 6 Total Shareholder Return takes account of share price movements and dividends paid during the year. Friends Provident Annual Report & Accounts 2006 3
Page 1 and 2: Setting new standards Friends Provi
Page 3: ANNUAL REVIEW CORPORATE GOVERNANCE
Page 7 and 8: INTERNATIONAL LIFE & PENSIONS ASSET
Page 43 and 44: DIRECTORS’ REPORT CORPORATE GOVER
Page 55 and 56:
DIRECTORS’ REPORT CORPORATE GOVER
Page 57 and 58:
Page 59 and 60:
Page 61 and 62:
Page 63 and 64:
Page 65 and 66:
Page 67 and 68:
Page 69 and 70:
Page 71 and 72:
FINANCIAL STATEMENTS Independent Au
Page 73 and 74:
PARENT COMPANY ACCOUNTS ABBREVIATIO
Page 75 and 76:
Page 77 and 78:
Page 79 and 80:
Page 81 and 82:
Page 83 and 84:
Page 85 and 86:
Page 87 and 88:
Page 89 and 90:
Page 91 and 92:
Page 93 and 94:
Page 95 and 96:
Page 97 and 98:
Page 99 and 100:
Page 101 and 102:
Page 103 and 104:
Page 105 and 106:
Page 107 and 108:
Page 109 and 110:
Page 111 and 112:
Page 113 and 114:
Page 115 and 116:
Page 117 and 118:
Page 119 and 120:
Page 121 and 122:
Page 123 and 124:
Page 125 and 126:
Page 127 and 128:
Page 129 and 130:
Page 131 and 132:
Page 133 and 134:
Page 135 and 136:
Page 137 and 138:
Page 139 and 140:
Page 141 and 142:
Page 143 and 144:
Page 145 and 146:
Page 147 and 148:
Page 149 and 150:
Page 151 and 152:
Page 153 and 154:
Page 155 and 156:
Page 157 and 158:
Page 159 and 160:
Page 161 and 162:
Page 163 and 164:
Page 165 and 166:
Page 167 and 168:
Page 169 and 170:
Page 171 and 172:
Page 173 and 174:
Page 175 and 176:
Page 177 and 178:
Page 179 and 180:
Page 181 and 182:
Page 183 and 184:
Page 185 and 186:
Page 187 and 188:
Page 189 and 190:
Page 191 and 192:
Page 193:
Page 196:
Friends Provident plc Pixham End Do
show all

Setting new standards - Friends Life

Create successful ePaper yourself

Delete template?

Save as template?