Economic value fell 13% to £626mln due to falling bond and equity prices and a stronger pound with an economic loss for the year of £60.9mln.
On a statutory IFRS basis, profits fell to £23.7mln from £86.9mln.
Even so, the dividend for the year rose 3% to 20.67p and Chesnara’s solvency ratio strengthened to 158% of its regulatory requirement following the cash generation of £47.8mln.
John Deane, chief executive, said the strong financial position gives its scope to make more acquisitions.
These will likely be focused on The Netherlands and UK (and possibly Sweden), where its existing businesses currently operate and where it already has scale.
Expansion further afield would need the benefits to outweigh the costs of adding another regulatory environment, he added.
Chesnara still generated cash in excess of the dividend cost said Deane despite last year's adverse economic conditions that were most marked during the final quarter.
“In the early part of 2019, markets have recovered somewhat but uncertainty remains as a result of political, economic and business conditions.”