Bermudian-domiciled Athora Holding Ltd, an insurance and reinsurance group focused on the European market, has reported a €488 million ($531 million) profit before tax for fiscal year 2022.

That is a 14 per cent increase compared to 2021. Athora reported operating capital generation of €442 million ($481 million), representing a year-on-year increase of more than 80 per cent.

Assets under management or administration were €74 billion ($80 billion) – or after announced transactions, pro forma AuMA, €94 billion ($101 billion) – versus €78 billion ($85 billion) in 2021.

The company’s subsidiaries include Bermudian-based Athora Life Re Ltd.

Mike Wells, group chief executive officer, said: “2022 has been a pivotal year for Athora. Amid a volatile economic backdrop, we have delivered strong operating performance, demonstrating the merits of our business model through varying economic cycles, while continuing to execute on our focused growth agenda.

“We ended the year having materially expanded our market position and balance sheet capacity, while simultaneously consolidating the foundations on which we operate.”

He added: “The continued repositioning of the Athora Netherlands investment portfolio, combined with strong cost discipline, has driven a more than 80 per cent annual increase in operating capital generation. The positive momentum in OCG – supported by a core focus on careful asset underwriting, strong risk management and proactive capital management – supported positive developments in local solvency ratios, most notably at Athora Netherlands.”

The results reflect continued progress for Athora which, in December, completed a common equity capital raise of approximately €2.75 billion ($3 billion) from new and existing investors.

Last year, the group was also selected as the preferred bidder for a closed-life portfolio from Axa Germany, and completed the acquisitions of Athora Italia S.p.A (formerly Amissima Vita S.p.A) and a closed life portfolio from NN Insurance Belgium.

In May, the group’s financial performance, business profile, and capitalisation led to a second upgrade in two years from Fitch Ratings to A4.

Mr Wells said: “Athora’s strong financial profile and disciplined management of our capital structure, combined with additional equity capital raised during 2022, provides us with significant resources to continue our strong growth trajectory.

“As of 31 December, we had approximately €2.5 billion ($2.7 billion) of undrawn equity capital, which is not reflected in reported solvency or IFRS metrics.”

He added: “We enter 2023 well positioned to further accelerate our business delivery – providing stakeholders with peace of mind irrespective of market conditions – and capitalise on the variety of organic and inorganic growth opportunities available to us across Europe.

“Special attention will be given to Athora Germany in the year ahead, in order to prepare for the closing and smooth integration of the portfolio acquisition from Axa Germany. Alongside this, we will continue to invest in our employees, capabilities, governance, controls and sustainability efforts.”