Allianz Collects €45bn in New Money as Operating Profit Beats, but India Windfall Skews the Bottom Line

Allianz surpasses €2 trillion in AUM, driven by €45bn inflows. Q1 operating profit rises 6.6% to €4.5bn, beating estimates, while underlying net profit grows 7% excluding one-off gains.

Allianz has crossed the €2 trillion mark in assets under management for the first time, driven by net inflows of €45bn at its asset management arm in the first quarter. The milestone, powered by Pimco and Allianz Global Investors, gives the Munich-based insurer a fresh narrative beyond its core underwriting business. The operating profit from asset management climbed 6% to €857m, a steady contribution that bolsters the group’s overall fee income.

On a group level, operating profit rose 6.6% to €4.5bn, comfortably topping the average analyst forecast of €4.36bn. The headline net profit, however, jumped 50% to €3.8bn — a leap that owes much to a one-off gain from the sale of stakes in India. Strip out that disposal, and the underlying net profit growth was a more modest 7%, underscoring that the quarter’s quality rests on operational grit rather than a flurry of exceptional items.

The property and casualty division delivered an operating profit of €2.4bn, helped by relatively light natural catastrophe claims. The life and health business held steady at €1.4bn, reflecting the stabilisation many insurers have been awaiting after years of low-rate headwinds. Total revenue slipped from €54bn to €53bn, but the profit trajectory remained intact thanks to disciplined cost control.

Allianz’s capital management continues to support the stock. The board has already paid the €17.10 dividend for the 2025 financial year, while analysts pencil in around €18.28 for 2026. The company also advanced its €2.5bn buyback programme, buying back €300m of shares in the first quarter alone. That combination of payout growth and share repurchases has kept the stock near its highs.

At €379.80, the share price is up 2.43% on the week but still 3.8% below the 52-week peak of €394.80. Technical indicators show the relative strength index at 71.1, suggesting the stock is no longer cheap after its recent run. RBC Capital Markets and Berenberg both updated their notes positively, with the consensus analyst target standing at €402.58.

For the full year, management reiterated its target for operating profit of €17.4bn, a figure that carries a €1bn leeway on either side. With the first quarter already delivering above expectations, the target looks well underpinned. Allianz will report second-quarter numbers on 7 August 2026, and investors will be watching to see whether the asset management momentum and underlying profit quality can be sustained without the crutch of exceptional gains.