Press releases

Legal & General delivers 18% growth in net cash generation and 12% growth in new business volumes.

Legal & General logo

04 May 2011

Legal & General logo
  • Operational cash generation up 25% to £248M (Q1 2010: £198M)
  • Net cash generation up 18% to £212M (Q1 2010: £179M)
  • Worldwide sales up 12% to £433M (Q1 2010: £388M)
  • LGIM assets up 8% to £356BN, savings assets up 12% to£65BN

Tim Breedon, Group Chief Executive, said:
“At our preliminary results presentation in March, we commented that, for Legal & General, increasing net cash generation and growth in the business are not mutually exclusive. Today’s results further demonstrate that point with 18% growth in net cash generation and 12% growth in worldwide sales. We are ahead of our plans to generate £700m of net cash in 2011.

“LGIM delivered nearly £11bn of gross new business and positive net flows of £2.0bn. Momentum in Savings continued with 20% growth in sales and positive net flows of £0.6bn. As expected, growth returned to the protection business with sales up 14% and in-force premiums up 7%. Annuity sales were down in the face of weaker market volumes.
“Elsewhere, we are continuing to make good progress on a number of key projects. The US capital management programme is proceeding to plan and international new business in LGIM is ahead of our plans. Roll out of our workplace savings platform continues with a number of large UK companies deciding to move their pension arrangements to Legal & General. Our Retail Distribution Review project is entering its implementation phase with a number of business partners signed up for post-RDR distribution agreements.
“We are very confident about the Group’s prospects for 2011 and beyond.”

Notes to editors

A copy of this announcement can be found in “Results”, under the “Financial information” section of our shareholder website at http://www.legalandgeneralgroup.com/investors/results.cfm.

There will be a teleconference at 10.00 BST (05.00 EST). Investors should dial + 44 (0)20 3140 0722. No passcode is required.

Financial calendar 2011Date
 Annual General Meeting 25 May 2011
 Payment of 2010 final dividend 1 June 2011
 Half Year Results 2011 3 August 2011

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 forward-looking 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:

Richard King

Richard King
Head of Group Corporate Communications

t: +44 (0) 2031 242095
m: +44 (0) 7515 324001
e: richard.king@group.landg.com


John Godfrey

John Godfrey
Group Corporate Affairs Director

t: +44 (0) 2031 242090
e: john.godfrey@group.landg.com


About Legal & General

Legal & General Group Plc.

Registered Office: 
One Coleman Street 
London 
EC2R 5AA.

Registered in England. Registered Number: 1417162.

Legal & General Group Plc is a holding company, subsidiary undertakings of which are fully authorised as appropriate under the Financial Services and Markets Act in respect of their investment activities in the UK.

© Legal & General Group Plc 2011


Close
Loading...