AIA New Zealand Reports Net After-Tax Profit of $23.6 Million for 2013; But Management More Focused On Future Growth
Auckland, 29 April 2014 – AIA New Zealand has announced a net profit after tax of $23.6 million for the 12 months to 30
November 2013, which includes a gain of $21.0 million generated by the positive movement in the discount rate applied in
valuing life insurance policy liabilities. When the impact of this movement is removed, the underlying profit of $2.6
million is similar to 2012 ($2.9 million in 2012).
With year-on-year results volatility due to such movements in the discount rate (in the 2012 financial year the movement
was negative), the company is more focused on investing in future growth. AIA New Zealand CEO Wayne Besant says, “2013
was a great year for our corporate solutions business, with 57% growth in new business premium over 2012, and we have
also seen improvements in both net premium and margins in our Retail channel.
“In 2014, we have dedicated much of the year to maximising our prior investments in operational technology and to
expanding distribution channels. Some of our new channels are in the start-up phase at present - however, we have
started to see the benefits from these channels coming through the P We are confident that as the delivery model matures, the channels will contribute to the overall profitability of the
business over the coming year and beyond.”
One of the new distribution channels is the AIA Agency team, a proprietary channel which launched in September 2013 to
serve New Zealand’s growing population of migrants from Asia. The initial 16 advisers, who between them speak nine Asian
languages, have just been bolstered by the addition of a further eight advisers. The team complements AIA New Zealand’s
work with the wider community of independent financial advisers around the country.
Other positive developments in the business in 2013 include:
• A restructuring of the company’s reinsurance arrangements, positioning AIA New Zealand to optimise the financial
strength of its parent company, the AIA Group;
• Enhancements to product features and pricing.
Mr Besant says, “In the 2012 financial year we began the process of positioning our business for future growth and
enhanced profitability. The 2013 year has ushered in some early results from this strategy, and we expect to see further
benefits in the future.”
AIA New Zealand also continues to investment in cultural community initiatives. In 2014, this includes sponsorship of
Maori Television’s Anzac Day coverage and of the long-running AIA Marae DIY series.
About AIA New Zealand
AIA New Zealand is a member of the AIA Group. AIA is listed on the Main Board of the Stock Exchange of Hong Kong Limited
as stock code 1299.
Since the company arrived in New Zealand in 1981, AIA New Zealand has consistently provided the market with innovative
personal and business insurance products that suit the Kiwi way of life.
Today AIA offers a complete range of risk management products that focus on the needs of customers.
AIA New Zealand is based in Auckland with regional offices in Wellington, Hamilton and Christchurch. However, through a
network of financial advisers, AIA reaches every corner of the country.
AIA New Zealand is a member of the Financial Services Council (FSC), the Insurance and Savings Ombudsman Scheme (ISO)
and the Health Funds Association of New Zealand (HFANZ).
About AIA Group
AIA Group Limited and its subsidiaries (collectively “AIA” or “the Group”) comprise the largest independent publicly
listed pan-Asian life insurance group. It has operations in 17 markets in Asia-Pacific – wholly-owned branches and
subsidiaries in Hong Kong, Thailand, Singapore, Malaysia, China, Korea, the Philippines, Australia, Indonesia, Taiwan,
Vietnam, New Zealand, Macau, Brunei, a 97 per cent subsidiary in Sri Lanka, a 26 per cent joint venture in India and a
representative office in Myanmar.
The business that is now AIA was first established in Shanghai over 90 years ago. It is a market leader in the
Asia-Pacific region (ex-Japan) based on life insurance premiums and holds leading positions across the majority of its
markets. It had total assets of US$147 billion as of 31 May 2013.
AIA meets the savings and protection needs of individuals by offering a range of products and services including
retirement savings plans, life insurance and accident and health insurance. The Group also provides employee benefits,
credit life and pension services to corporate clients. Through an extensive network of agents and employees across
Asia-Pacific, AIA serves the holders of more than 27 million individual policies and over 16 million participating
members of group insurance schemes.
AIA Group Limited is listed on the Main Board of The Stock Exchange of Hong Kong Limited under the stock code “1299”
with American Depositary Receipts (Level 1) traded on the over-the-counter market (ticker symbol: “AAGIY”).
ENDS