Allianz Net Profit Down On Greek Debt Impairments; Keeps Goal

Allianz SE (ALV.XE), Europe's largest primary insurer by market capitalization, Friday said net profit fell 8.2% in the second quarter, after the write-down of the value of its entire Greek sovereign debt portfolio to market value as of June 30 was only partially offset by moderate costs for severe-weather damage.

Allianz also confirmed it's on track for its full-year target of an operating profit in a EUR7.5 billion to EUR8.5 billion range.

Net profit fell to EUR1.00 billion from EUR1.09 billion a year earlier, below the average estimate of EUR1.23 billion in a Dow Jones Newswires poll.

Operating profit, which some investors consider better reflects a company's actual business performance, was unchanged at EUR2.30 billion, beating the forecast for EUR2.14 billion.

Total revenues--which include insurance premiums, operating revenues in the asset management segment, and revenues from the corporate and the small banking segment--fell 3.2% to EUR24.6 billion, below the forecast decline to EUR24.9 billion

Allianz shares closed down EUR2.07, or 2.4%, at EUR82.83 Thursday. The company currently has a market value of around EUR38 billion.

By Ulrike Dauer, Dow Jones Newswires; [phone]; [e-mail]