(Reuters) — British insurer RSA Insurance Group P.L.C. on Thursday ratcheted up its return targets and cost-cutting plans following an abandoned takeover bid last year from Zurich Insurance Group Ltd. as it reported a 43% rise in operating profit for 2015.

Shares in the company, best known in Britain for its More Than brand, soared more than 7%, leading the FTSE 100 index higher.

Stephen Hester, brought in from Royal Bank of Scotland P.L.C. to turn the company around two years ago, previously called the aborted £5.6 billion ($8.07 billion) takeover attempt by Zurich a distraction.

Mr. Hester told a media call the group had received no other approaches after the Zurich bid fell away, and would have to rely on self-help for growth.

"It's a tough and competitive environment, interest rates won't give us any help," Mr. Hester said. "We had a bit of a dance with Zurich in the summer. Relative to six months ago, (RSA) is stronger and better."

RSA said it was targeting the upper half of its medium-term performance goal of 12% to 15% underlying return on tangible equity by 2017, "with further improvement to come thereafter."

It said it expected to make cost savings of £250 million ($360.1 million) by 2016, a year ahead of schedule, and was targeting more than £350 million ($504.2 million) in gross annualized savings by 2018.

Operating profit of £523 million ($753.4 million) was well above analysts' consensus of £481 million ($692.9 million) in a company-supplied forecast.

RSA had a combined ratio of 96.0%, against a forecast 97.1%, despite floods in Britain in December that cost it £76 million ($109.5 million) in losses. A ratio below 100% indicates an underwriting profit.

The firm published a solvency capital ratio of 143% under new European Solvency II capital rules prior to the completion of the sale of its Latin American business, and set a target ratio of 130% to 160%.

A solvency ratio of 100% means an insurer has set aside enough capital to meet underwriting, investment and operational risks.