Insurance giant Aviva reported a 6% rise in operating profit but warned it had more work to do to turn round performance.
The company also said no decisions had been taken over the major restructuring which would see 1,500 jobs go in the £5.2 million merger with Friends Life.
Aviva employ around 1,000 household claims staff at Pitheavlis in Perth, the site of a previous reorganisation after the company closed its Dundee Technology Park office.
Its 2014 results published yesterday showed an operating profit of £2.17 billion and ahead of forecast, and a final dividend of 12.25 pence per share.
The rise of 30% made a total dividend for the year of 18.1 p.
The holding company’s excess cash flow was up 65% at £692m, and cash remittances were up 11% at £1.4bn.
New business grew 15% to a record £1bn.
Growth markets in Poland, Turkey and Asia now make up 22% of new business and the UK Life sector was constant at £473m despite changes to the annuity market.
Chief executive Mark Wilson said the results showed tangible progress, and Aviva had entered 2015 in a position of strength.
He added: “Nevertheless, it would be wrong to assume that our turnaround is nearing completion as we have further to travel than the distance we have come.”
The merger with pensions company Friends Life is the biggest in the industry since CGU merged with Norwich Union to create Aviva in 2000.
The deal will make Aviva the UK’s leading insurance, savings and asset management business by number of customers.
It will generate savings of £225m by the end of 2017 and add £70bn of funds to Aviva investors, giving flexibility to invest in key segments and markets.
Aviva employs 28,000 staff worldwide including 12,000 in the UK.
Friends Life has 3,500 at offices in England. The Friends name is likely to be lost in the group’s rebranding.
Shareholders will vote on the merger on March 26 with completion anticipated on April 13.
The company said that while these dates are important milestones, benefits for shareholders will accrue once the real work on integration is under way.
Mr Wilson was appointed two years ago from rival AIA to restructure Aviva.
He said the integration with Friends Life is a major exercise but there are large parts of the business that are not involved .
Aviva will continue to focus on better capital allocation and efficiency across the entire group.
Holders of Friends Life stock will receive 0.74 new Aviva shares for each Friends share in a merger which investors say makes sense as a means of coping with UK pension changes.
Reforms next month allow retirees to use their pension pots as they choose rather than forcing them to buy income-bearing annuities.
Aviva shares reached a near-seven-year high yesterday after pushing ahead in early trading and closed up 37.5p at 569.5p.
Friends Life shares rose to April 2009 highs and closed at 434.9p last night, up 28.7p on the day and a big rise from when the merger plans were announced.