Financial Data and Key Metrics Changes - The operating result increased to €845 million, up 19% compared to the previous year, driven by profitable business growth and improved claims experience in the US, UK, and international segments [4][16] - Operating capital generation before holding and funding expenses decreased by 2% to €576 million [4][16] - Free cash flow increased significantly to €442 million from €373 million in the previous year [16][28] - The group solvency ratio decreased by five percentage points to 183% compared to year-end 2024 [17][26] Business Line Data and Key Metrics Changes - In the US, operating results improved to $685 million, benefiting from growth in strategic assets, particularly in the Protection Solutions business [18][19] - New life sales in the individual life business increased by 13%, driven by higher agent productivity and successful recruitment efforts [11][12] - Aegon UK experienced growth in operating results due to favorable markets and business growth [20] - The international segment saw increased operating results from higher CSM releases in TLB and Spain and Portugal, despite lower sales in Singapore [14][20] Market Data and Key Metrics Changes - The US market accounts for approximately 70% of Aegon's operations, highlighting its significance in the company's strategy [7] - The brokerage channel recorded strong growth in new life sales, attributed to the launch of a fully digital whole life final expense product [12] - Net deposits in the retirement plan business were solid, driven by mid-sized plans and onboarding of a large pool plan [12] Company Strategy and Development Direction - Aegon is focused on growing and transforming its businesses, with a strategic emphasis on the US market [3][4] - The company announced a review of relocating its head office to the US to align its corporate structure with its primary market [6][7] - The relocation aims to simplify operations and enhance cooperation between the holding and its main business unit [7][8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving all financial targets for 2025, with a positive outlook for the second half of the year [29] - The company is monitoring the impact of new business strain and claims experience on operating capital generation [32][39] - Management reiterated that the operating profit is not particularly sensitive to equity market fluctuations [39] Other Important Information - Aegon announced a €200 million increase to its share buyback program, totaling €400 million for 2025 [5][28] - The company plans to implement US GAAP reporting, which is expected to take two to three years [9][10] Q&A Session Summary Question: What drove the decision to cover 25% of the variable annuity based fee? - Management indicated that this decision was part of ongoing risk management to stabilize capital generation and was executed recently [35][36] Question: Can you provide insights on the US GAAP implementation? - Management stated it is too early to provide guidance on the impact of US GAAP on operating profit or OCG [43] Question: What are the main challenges of potentially redomiciling? - Key challenges include building head office processes in the US and implementing US GAAP, which will take time [65][66] Question: How clean is the reported operating profit? - The operating profit of €8.45 is considered clean, with adjustments leading to an adjusted number of around €9.37 [51][52] Question: What is the size of the pool plan? - The pool plan is approximately €1.9 billion [42][94] Question: How does the US redomiciliation impact M&A opportunities? - Management indicated that being closer to the US market would position the company more favorably for potential M&A opportunities [72]