earnings per share up 12% and dividends up 20%
financial highlights:
Earnings per share UP 12% to 13.90p (2011: 12.42p)
FULL YEAR DIVIDEND UP 20% TO 7.65P PER SHARE (2011: 6.40P PER SHARE)
OPERATING PROFIT up to £1,087M (2011: £1,053M); operating profit from divisions up to £1,115m (2011: £1,058m)
Profit after tax up to £801m (2011: £721m)
Net cash up to £865m (2011: £846m); net cash from divisions up to £845m (2011: £802m)
IFRS return on equity 15.5% (2011: 14.9%)
Nigel Wilson, Group Chief Executive, said:
"Legal & General's double-digit sales growth in 2012 broke records, again demonstrating that customers value our insurance, savings and investment propositions. An uncertain, sluggish economy has had minimal impact. The more important growth drivers for us are ageing populations, falling state spending on welfare and new long-term investment opportunities as banks retrench. Our expertise, scale and synergies enable us to provide solutions to these challenges, placing us squarely among the beneficiaries from these structural changes.
Our 20% increase in dividend is underpinned by 12% EPS growth and strong cash flow. These in turn reflect growing strengths in execution, operational scale and efficient manufacturing and distribution. We have the capability, the opportunity and focused ambition, to grow earnings further in 2013 and beyond. Legal & General will develop the opportunities long-term structural changes offer through focus on retirement solutions, international investment management, digital solutions, protection and direct investment. Our financial strength enables us to continue to deliver strong organic growth, complemented by bolt-on acquisitions, where they can meet our rigorous financial and strategic criteria.
We provide financial services to our customers at the most exciting, critical or difficult moments in their lives, and we help drive investment and growth for the wider economy. Social purpose and financial success are two sides of the same coin here at Legal & General."
