BERLIN, May 12 (Xinhua) -- Operating profit of Allianz dropped by 22.2 percent year-on-year to 2.3 billion euros (2.5 billion U.S. dollars) in the first quarter (Q1) of 2020, the German insurer announced on Tuesday.
Total revenues of Allianz increased by 5.7 percent to 42.6 billion euros in Q1 compared with the same period of the previous year, according to the company.
"The first quarter of 2020 showed the resilience of Allianz in these unprecedented circumstances," said Oliver Baete, chief executive officer (CEO) of Allianz.
The turbulence in the financial markets caused by COVID-19 and a slowing economy would have "clearly aggravated" business conditions for the financial services industry, according to Allianz.
However, with its "well-diversified business portfolio and a robust balance sheet," Allianz would be well prepared to deal with the coronavirus crisis, according to the insurer.
Allianz already announced at the end of April that in view of the current pandemic-related uncertainties for the overall economic development, it was unlikely to be able to achieve the operating profit target range of 12 billion euros, plus or minus 500 million euros, set for 2020.
As soon as the effects of the coronavirus crisis could be "better assessed," a new profit target for 2020 would be announced, according to Allianz.
"These are very testing times for us all, but I believe that together we will rise to this challenge," said Baete. Enditem