Aegon has released its financial results for the second half of 2025, revealing a net profit of EUR 375 million. This marks a significant decline from EUR 741 million reported during the same period in 2024. Despite this drop, the company achieved an impressive full-year net result of EUR 980 million, reflecting a 45% increase compared to the previous year. The operating result for the second half totaled EUR 858 million, an 11% rise driven by growth across all business units, showcasing Aegon's resilience amid challenging conditions.
Solid Growth in Operating Results
The operating result demonstrates robust growth, reaching EUR 858 million in the latter half of 2025. This figure reflects an 11% increase over the second half of 2024, benefiting from favorable market conditions and ongoing commercial momentum across all segments. For the full year, Aegon reported an operating result of EUR 1.7 billion, up 15% compared to 2024. The company's ability to adapt and thrive in a competitive landscape has been commendable, particularly in the United States, where Transamerica expanded its distribution network to over 95,000 licensed agents. This expansion contributed to a remarkable 30% increase in individual new life sales.
Valuation Equity and Capital Generation Insights
Aegon's valuation equity, which encompasses both shareholders' equity and the contractual service margin after estimated tax adjustments, increased by 7% in the reporting period, amounting to EUR 9.06 per share. This growth was primarily fueled by the company's net results, favorable market impacts, and an active share buyback program. Additionally, the operating capital generation (OCG) saw an 8% rise, reaching EUR 711 million compared to the second half of 2024. For the full year, Aegon exceeded its OCG target, reporting EUR 1.3 billion against a goal of EUR 1.2 billion, further solidifying its financial standing.
Strategic Capital Management and Shareholder Returns
Despite a decrease in cash capital at the holding level, which fell to EUR 1.3 billion-down EUR 0.7 billion from the first half of 2025-Aegon remains committed to returning value to its shareholders. The company proposed a final dividend of EUR 0.21 per common share, marking an 11% increase compared to the previous year's final dividend, thus aligning with its target of EUR 0.40 for the full year 2025. Free cash flow also remained strong, totaling EUR 388 million for the second half of the year, contributing to an annual total of EUR 829 million, consistent with the company's goal of around EUR 800 million.
CEO's Remarks on Financial Performance
Lard Friese, Aegon's CEO, expressed satisfaction with the company's performance, stating, "Our results for 2025 demonstrate the strength of our strategy and our ability to consistently deliver upon our ambitions." He highlighted that all financial targets set during the Capital Markets Day in 2023 had been met or exceeded, underscoring the dedication and hard work of Aegon's employees. The CEO noted the strong commercial momentum in the U.S. market, particularly through Transamerica, which not only expanded its distribution network but also saw an increase in assets under administration in its Retirement Plans business.
Looking ahead, Aegon is positioned well for continued growth, backed by solid operating results and a clear strategy aimed at maximizing shareholder value. The company's commitment to enhancing its distribution capabilities and focusing on customer needs will be critical in navigating future challenges and opportunities in the financial landscape. With a robust capital position and a steady growth trajectory, Aegon is set to build on its successes as it moves into 2026.