Printer Friendly

ING GROUP REPORTS A 7.2 PERCENT INCREASE IN NET PROFIT FOR FIRST HALF OF 1992; YEAR-END RESULT TO AT LEAST EQUAL 1991

 ING GROUP REPORTS A 7.2 PERCENT INCREASE IN NET PROFIT
 FOR FIRST HALF OF 1992; YEAR-END RESULT TO AT LEAST EQUAL 1991
 AMSTERDAM, the Netherlands, Sept. 2 /PRNewswire/ -- Internationale Nederlanden Groep N.V. (ING Group) reported a net profit of $420 million for the first six months of 1992.
 This was a satisfactory increase of 7.2 percent over the same period in 1991 when the result was $392 million. The executive board maintains its earlier forecasts for the whole of 1992 that a reasonable growth in business volume will be achieved and that net profit will at least equal the 1991 result.
 Profit before tax and before deduction of third party interests for the first half of 1992 was $568 million compared to $532 million in the corresponding period of 1991. This was an increase of 6.9 percent.
 The Group's total assets increased by 5.0 percent to $181.6 billion at the end of June as compared with $172.9 billion at the end of December 1991. Shareholders' equity grew by 10.1 percent to $8.9 billion from $8.1 billion in the same period due mainly to retained profits and an appreciation of the share portfolio.
 The interim dividend was fixed at $0.86 per share. The shareholder has the option of receiving the dividend entirely in cash or $0.29 in cash plus 2.5 percent in shares out of share premium or the other reserves.
 Insurance Activities
 Total insurance premium income (including life, non-life and reinsurance) for the first six months of 1992 grew by 5.5 percent to $5,514 million over the same period in 1991 when the amount was $5,225 million. Life premium income was $2,983 million, an increase of 12.5 percent; non-life (including property and casualty and health) increased by 1.1 percent to $1,822 million; reinsurance declined by 8.1 percent to $709 million. The strongest growth in life premiums was in areas where new operations are being developed and in North America and Australia. The growth in non-life premiums was largely in Europe outside the Netherlands. The decrease in reinsurance was due to lower single premium sales.
 Income from investments of the insurance operations rose by 1.2 percent to $2,231 million from $2,205 million.
 The result of life insurance operations was $123 million, an increase of 1.4 percent compared with the first six months of 1991. The life result showed an increase in North America and a slight decrease in the Netherlands. The life operations in Spain, Greece and Japan continued their positive trend in 1992. The newer greenfield operations in Taiwan, South Korea and Hungary developed favorably. The development of the new life operations in Czechoslovakia and Italy is also proceeding according to schedule.
 There was an upward move in non-life results in the first half of 1992 with a profit of $14 million recorded compared with a profit of $4 million in the same period of 1991. The non-life result in the Netherlands declined. There were improved results of non-life operations in both the United States and Australia compared with the first six months of 1991. The loss of Orion in the United Kingdom decreased but remained considerable. Yesterday it was announced that Nationale-Nederlanden, in consultation with Orion, decided to cease the underwriting activities on the London market as of Sept. 1, 1992. Possibilities for the transfer of the other activities of Orion are being discussed with other insurers.
 Fire insurance showed a substantially improved result. Marine and aviation was less negative. Automobile and miscellaneous insurance produced sharply reduced yet positive results. Accident and health results improved, mainly in North America.
 The reinsurance result declined from $7 million to $4 million.
 Income from investments and other activities not allocated to technical insurance results remained unchanged at $133 million.
 Banking Activities
 The profit before tax of the banking operations for the first six months of 1992 was $305 million, an increase of 10.4 percent compared with $276 million in the same period in 1991.
 Bank lending rose by 4.6 percent from $73.5 billion as of Dec. 31, 1991, to $76.8 billion at the end of June 1992. The increase in domestic lending was nearly 2 percent while international lending grew by 17.6 percent. The limited growth in domestic lending was due in part to a deliberate restrictive policy regarding cash loans.
 As of June 30, the international loan portfolio stood at $15.1 billion; the domestic corporate portfolio at $36.4 billion; and the domestic personal portfolio at $25.3 billion.
 Compared with the first six months in 1991, the interest result rose by 10.1 percent to $1,359 million.
 Commission income rose by 14.2 percent from $251 million to $286 million during the first six months of 1992. Lower commissions in the leasing operations were offset by increased commissions in all other operations.
 Other income increased by a gratifying $4 million considering the high result of the first six months of 1991 to $238 million. This was in large part due to increased trading results.
 The banking provision for general contingencies was increased by $230 million in the first six months of 1992. In the first six months of 1991 the amount added was also $230 million.
 During the second quarter greater emphasis was placed on measures to increase income and at the same time reduce expenses. In this connection, announcements were made earlier that important parts of the organizations of the Dutch subsidiaries of RVS Insurances and Victoria- Vesta will be integrated and that parts of RVS in Belgium will be integrated into De Vaderlandsche, another Belgian subsidiary. The NMB Postbank Group intends to reduce the number of computer centers from six to three and is investigating whether certain parts of its activities which are not banking operations can be subcontracted.
 ING Group provides financial services through its own establishments in 44 countries. Its total assets are $181.6 billion. Nationale- Nederlanden, the insurance subholding of ING Group, is represented in North America by a total of 16 life and health, and property and casualty insurance companies. The NMB Postbank Group, the banking subholding of ING Group, has branch offices in several cities in the United States.
 Note on Exchange Rates:
 All profit and loss items have been translated at average exchange rates while all balance sheet items have been translated at balance sheet date exchange rates.
 The exchange rates used were:
 Profit and Loss Account: 1 NLG equals US$0.555
 Balance Sheet: 1 NLG equals US$0.581
 -0- 9/2/92
 /CONTACT: Joep Jurgens, vice president of Nationale-Nederlanden North American Corporation in Washington, 202-393-2001; or Internationale Nederlanden Group in Amsterdam, 31-20-646-2201/ CO: Internationale Nederlanden Groep N.V. ST: IN: INS FIN SU: ERN


EA-BN -- AT008 -- 5905 09/02/92 12:10 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 2, 1992
Words:1147
Previous Article:THE ADMAR GROUP INC. ACQUIRES IMAGE FINANCIAL AND INSURANCE SERVICES INC.
Next Article:BROWNING-FERRIS DECLARES REGULAR QUARTERLY DIVIDEND
Topics:


Related Articles
ING GROUP REPORTS 4.2 PERCENT INCREASE IN NET PROFIT FOR 1991
ING GROUP REPORTS AN 8.8 PERCENT INCREASE IN NET PROFIT IN FIRST QUARTER OF 1992; 1992 RESULT TO AT LEAST EQUAL 1991
JEFFERSON-PILOT CORP. REPORTS 10.6 PERCENT EARNINGS PER SHARE INCREASE FOR THE SECOND QUARTER -- EARNINGS UP 14.5 PERCENT FOR THE FIRST HALF
GEICO CORPORATION REPORTS 1992 SECOND QUARTER RESULTS
ENHANCE FINANCIAL SERVICES GROUP REPORTS SECOND QUARTER INCOME UP 32 PERCENT
WILLIS CORROON GROUP plc REPORTS RESULTS FOR THE SIX MONTHS ENDED JUNE 30, 1992
FORTIS & N.V. AMEX REPORT RECORD HALF YEAR RESULTS
FORTIS & N.V. AMEV & AG GROUP REPORT RESULTS FOR FIRST HALF OF 1993; STRONG GROWTH IN OPERATING RESULT AND NET PROFIT
ING GROUP NET PROFIT UP 11.0 PERCENT FIRST NINE MONTHS OF 1993
ING REPORTS HANDSOME FIRST QUARTER NET PROFIT OF $315 MILLION, AN INCREASE OF 10.6 PERCENT OVER 1994 FIRST THREE MONTHS

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters