See accounting policy S.
7.5.11.1 Share capital
| | 31 December 2023 | 31 December 2022 | ||
|---|---|---|---|---|
| | Number of Shares (in millions) | Amounts (in € millions) | Number of Shares (in millions) | (Amount (in € millions) |
| Ordinary shares | | | | |
| - Authorised capital; par value of € 0.16 | 325 | 52 | 325 | 52 |
| - Of which unsubscribed | 114 | 18 | 175 | 28 |
| Subscribed and paid-up capital | 211 | 34 | 150 | 24 |
| | | | | |
| Preference shares | | | | |
| - Authorised capital; par value of € 0.16 | 325 | 52 | 325 | 52 |
| - Of which unsubscribed | 325 | 52 | 325 | 52 |
| Subscribed and paid-up capital | - | - | - | - |
Movements in the share capital for 2023 comprises an increase of 63,298 thousand shares as a result of issued share capital to finance the business combination of a.s.r. and Aegon NL (see chapter 7.4.5) and a decrease as a result of the cancellation of 1,798 thousand treasury shares (see chapter 7.5.11.5).
7.5.11.2 Share premium reserve
The share premium reserve increased by € 2,537 due to issued share capital to finance the business combination of a.s.r. and Aegon NL (€ 2,572 million) and the cancellation of 1,798 thousand treasury shares (€ - 35 million), as approved at the AGM in May 2023, see chapter 7.5.11.5.
7.5.11.3 Unrealised gains and losses recorded in equity
| 31 December 2023 | 31 December 2022 | |||||
|---|---|---|---|---|---|---|
| | Investments at FVOCI | Revaluation of property in own use and plants | Total | Investments at FVOCI | Revaluation of property in own use and plants | Total |
| Gross unrealised gains and losses | 414 | 54 | 467 | 267 | 50 | 317 |
| Related tax | -72 | -13 | -85 | -38 | -13 | -51 |
| | | | | | | |
| Total unrealised gains and losses recorded in equity | 342 | 41 | 383 | 228 | 37 | 266 |
7.5.11.4 Actuarial gains and losses
The balance of actuarial gains and losses related to the pension obligation decreased in 2023 by € 120 million after tax and € 162 million before tax (2022: increased by € 887 million after tax and € 1,195 million before tax). The decrease is mainly due to an increase in the discount rate (see chapter 7.5.15).
7.5.11.5 Treasury shares
In January 2023, a.s.r. announced the share repurchase programme for the employee share plan for an amount of € 10 million. Therefore, during 2023, a.s.r. repurchased 233 thousand shares under an open market share buyback programme for an amount of € 10 million (average share price € 42.87).
As part of the employee share purchase plan a.s.r. sold 159 thousand shares (2022: 124 thousand shares) for an amount of € 5 million (2022: € 4 million), leading to a decrease of € 1 million (2022: € 0.2 million) in retained earnings. For more information on the employee share purchase plan, see chapter 7.7.5.
In the AGM in May 2023 the resolution was adopted to cancel 1,798 thousand shares which were acquired in 2022. The cancellation was effected in August 2023.
The amount of treasury shares held at year-end of € 7 million (2022: € 79 million) represents 179 thousand treasury shares (2022: 1,903 thousand).
7.5.11.6 Other equity instruments
| | 2023 | 2022 | Coupon date | First possible redemption date |
|---|---|---|---|---|
| Hybrid Tier 2 instrument 5% fixed interest | 497 | 497 | Annually with effect from 30 September 2015 | 30 September 2024 |
| Restricted Tier 1 instrument 4.625% fixed interest | 507 | 507 | Semi-annually with effect from 19 April 2018 | 19 October 2027 |
| | | | | |
| Total other equity instruments | 1,004 | 1,004 | | |
The Tier 1 and Tier 2 instruments bear discretionary interest and have no maturity date, but can be redeemed at the option of a.s.r. on any coupon due date from the above mentioned possible redemption date.
The Tier 1 and Tier 2 instruments have subordination provisions, rank junior to all other liabilities and senior to only shareholder’s equity. The conditions of the securities contain certain provisions for optional and required coupon payment deferral and mandatory coupon payment events.
The coupon payments in respect of the Tier 1 and Tier 2 instruments are deductible for tax purposes.
| | 2023 | 2022 |
|---|---|---|
| Hybrid Tier 2 instrument 5% fixed interest | 25 | 25 |
| Restricted Tier 1 instrument 4.625% fixed interest | 23 | 23 |
| | | |
| Total distributed amounts | 48 | 48 |
The Tier 1 and Tier 2 instruments are classified as equity as there is no requirement to settle the obligation in cash or another financial asset or to exchange financial assets or financial liabilities under conditions that are potentially unfavourable for a.s.r.
7.5.11.7 Earnings per share
| | 2023 | 2022 restated |
|---|---|---|
| Net result attributable to holders of ordinary shares for calculating the earnings per ordinary share | 1,038 | -1,757 |
| Weighted average number of ordinary shares in issue | 178,838,730 | 137,004,580 |
| Basic earnings per ordinary share (in euros) | 5.80 | -12.83 |
| | 2023 | 2022 restated |
|---|---|---|
| Net result | 1,038 | -1,757 |
| - effect of Restricted Tier 1 capital instrument | 17 | 17 |
| Adjusted net result attributable to holders of ordinary shares for calculating the diluted earnings per ordinary share | 1,055 | -1,740 |
| Weighted average number of ordinary shares in issue | 178,838,730 | 137,004,580 |
| Weighted average number of ordinary shares resulting from conversion of bonds Restricted Tier 1 | 21,645,022 | 21,645,022 |
| Weighted average number of shares used to calculate the diluted earnings per ordinary share | 200,483,751 | 158,649,601 |
| Diluted earnings per ordinary share (in euros) | 5.26 | -10.97 |
Net result in the table is after tax and non-controlling interests.
For additional information related to net result, see chapter 7.2.2.