H1 2023 Results: £0.95bn of operating profit and capital generation, stock of deferred profits up to £13.8bn, DPS up 5% to 5.71p and SII ratio of 230%

1. The Group uses a number of Alternative Performance Measures (including adjusted operating profit, return on equity and LGIM AUM) to enhance understanding of the Group’s performance. These are defined in the glossary, on pages 102 to 110 of this report. This is the first time we are reporting under IFRS 17. Comparatives have been restated accordingly. For further information please see Note 2.01.
2. Solvency II coverage ratio of 230% is post £0.8bn payment of 2022 final dividend.
3. Profit after tax attributable to equity holders.
4. Capital generation defined as Solvency II operational surplus generation. Cash generation previously defined as net release from operations is no longer reported under IFRS 17.
5. Net surplus generation defined as Solvency II operational surplus generation less new business strain.
6. In stating this aim, the Board has carefully considered the Group’s financial position and had regard to the general economic outlook for the UK and the other countries in which the Group operates.
7. Stock of deferred profit refers to the gross of tax combination of established Contractual Service Margin “CSM” (net of reinsurance) and Risk Adjustment “RA” under IFRS 17.
8. Figures presented include an adjustment for the new business CSM/RA uplift associated with the L&G pension schemes’ partial buy-in transaction in H1, which is eliminated in the 30 June 2023 consolidated balance sheet. In H2 we expect to move to a full buy-out of the pension schemes and recognise a further c£0.1bn of CSM/RA.

Established in 1836, Legal & General is one of the UK's leading financial services groups and a major global investor, with £1.2 trillion in total assets under management¹ of which 40% is international. We have a unique and highly synergistic business model, which continues to drive strong returns. Legal & General provides powerful asset origination and management capabilities directly to clients, which also underpin our leading retirement and protection solutions. We are a leading international player in Pension Risk Transfer, in UK and US life insurance, and in UK workplace pensions and retirement income. Our purpose is to improve the lives of our customers and create value for our shareholders. Through inclusive capitalism, we are investing in long-term assets, such as real estate and infrastructure, that can help build a better society for the future.

¹Data as at 31 December 2023.