Anadolu Anonim Turk Sigorta Sirketi A.s. · BIST:ANSGR

Anadolu Anonim Turk Sigorta Sirketi A.s — Q2 2018 Earnings Presentation

22 slides from Anadolu Anonim Turk Sigorta Sirketi A.s's earnings presentation, Jul 31, 2018

  1. Slide 1: Financial Results 2Q18 Conference Call

    Financial Results 2Q18 Conference Call July 31, 2018 1

  2. Slide 2: Content

    Content  Highlights of Sector  Market Share & Rank  Highlights of Anadolu  Growth Performance  Premium production  Core indicators  Branch Technical Results  Financial statements  Profitability  Investment portfolio  Q&A session 2

  3. Slide 3: Sector highlights: market share and premium growth

    18H1 17H1 GPW Share GPW Share • Pool effect in premium growth (mn TRY) (mn TRY) Allianz 2.892 12,0% Allianz 2.604 13,1% Anadolu 2.860 11,9% Anadolu 2.333 11,8% Aksigorta 1.676 7,0% Axa 1.421 7,2% • MTPL strategies Axa 1.579 6,6% Mapfre 1.406 7,1% Mapfre 1.366 5,7% Ak 1.118 5,6% Top 10 15.566 64,8% T

  4. Slide 4: Total premiums by branch

    BRANCHES 18H1 17H1 Change (YoY) (%) MTPL 7.739 5.839 32,5 MOD 3.317 3.285 13,2 Health 3.348 2.737 22,3 General Losses 3.297 2.741 20,3 Fire 3.284 2.897 13,4 Accident 916 829 10,5 General Liability 665 520 28,0 Marine Goods on Transit 416 343 21,3 Financial Lines 166 166 0,1 Watercraft 153 120 28,0 C

  5. Slide 5: Highlights of Anadolu: premium production and financials

    • Increasing Premium Production • Premium Production – MTPL Excluded (mn TRY) 17H1 18H1 YoY(%) (mn TRY) 17H1 18H1 YoY(%) Anadolu 2.333 2.860 22,6% Anadolu 1.713 2.106 23,0% Sector 19.822 24.030 21,2% Sector 13.983 16.291 16,5% • Improving financials • Premium Increase In Health Branch (mn TRY) 17H1

  6. Slide 6: 2Q18 GPW branch breakdown

    17Q2 17Q3 17Q4 18Q1 18Q2 YoY(%) MOD 272 219 273 234 268 -1% MTPL 328 329 393 376 377 15% FIRE 232 153 243 209 310 33% HEALTH 120 99 136 218 208 74% OTHER 259 198 296 341 319 23% TOTAL 1.211 998 1.341 1.378 1.482 22% 2Q18 Breakdown GPW Branch Breakdown 35% MOD OTHER 21,5% 18,1% 30% 25% 20% 15% HEALTH

  7. Slide 7: Accident and Health branches

    18Q1 18Q2 Change • Both gpw and earned premiums GPW 32,9 37,4 14% increased in 18Q2. Accident Earned Premiums Claims (Net) 31,9 9,1 32,7 9,5 3% 4% • The most profitable branch Claims Ratio 28,6% 29,0% 1% 18Q1 18Q2 Change • Strong growth of earned premium GPW 217,5 208,0 -4% in 2Q18. Earned Premiums

  8. Slide 8: Land Vehicles and General Losses

    18Q1 18Q2 Change • 15% growth in written premium compared to previous quarter GPW 233,7 268,1 15% Land Earned Premiums 238,9 244,7 2% • The increase in realized claims was above the increase in earned Vehicles Claims (Net) Claims Ratio 161,1 67,4% 187,9 76,8% 7% 14% premiums 18Q1 18Q2 Change GPW 179

  9. Slide 9: MTPL and General Liability

    18Q1 18Q2 Change • Stable premium production GPW 376,1 377,2 0% Earned Premiums 241,4 231,5 -4% • Claim ratio decreased due to MTPL Claims (Net) 233,8 223,2 -5% improvement of realized claims. Claims Ratio 96,9% 96,4% -1% 18Q1 18Q2 Change • URR effect brought the earned GPW 52,3 68,8 32% premium bel

  10. Slide 10: Fire

    18Q1 18Q2 Change • Growth in Premium production GPW 208,7 310,0 49% continues similar to Q1. Earned Premiums 94,5 97,7 3% Fire Claims (Net) 36,3 71,5 97% • Despite increase in claims ratio Claims Ratio 38,4% 73,3% 90,9% in 18Q2, fire branch is back in its profitable track 10

  11. Slide 11: Combined Ratio

    Combined Ratio 17Q2 18Q1 18Q2 17H1 18H1 MOD 102,8% 97,8% 109,0% 100,7% 103,5% MTPL 119,2% 120,2% 119,6% 106,9% 119,9% Fire 129,3% 84,2% 106,7% 109,7% 95,6% Health 130,9% 121,5% 111,3% 117,0% 116,2% P.Accident 50,5% 76,2% 68,0% 59,3% 72,0% General Liability 96,1% 153,1% 153,2% 183,0% 153,1% General L

  12. Slide 12: Market share and rank by branch

    Rank Market Share BRANCHES 18H1 17H1 Growth 18H1 18H1 MOD 502 462 1 14% 9% Fire 519 417 1 16% 24% General Liability 121 93 1 18% 30% Watercraft 54 41 1 35% 32% Aircraft 23 14 1 63% 58% Aircraft Liability 16 14 1 39% 9% MTPL 753 620 2 10% 21% Health 426 303 3 13% 40% General Losses 302 234 3 9% 29% O

  13. Slide 13: Premium production by distribution channel

    Premium Production - Sector Premium Production - ANSGR Other Direct Direct Other 4% 8% 4% 10% Broker 12% Broker 12% Bank 16% Bank 13% Agency 61% Agency 60% 13

  14. Slide 14: Total assets, technical reserves, cash and equity

    Total Assets (mn TRY) (*) Tech. Reserves (mn TRY) 12% 8% 7.758 6.929 4.798 4.456 5.840 3.914 4.677 2.934 3.773 2.282 2014 2015 2016 2017 18Q2 2014 2015 2016 2017 18Q2 Cash and Marketable Sec. (mn TRY) (*) Shareholders' Equity (mn TRY) 1.736 4.880 1.639 4.505 3.832 1.202 1.223 1.020 2.776 2.250 2014

  15. Slide 15: Market cap, book value and P/BV

    (TRY) Change 18Q2 2017 (18Q2-2017) Mcap 2.130mn 1.550mn 37% Equity (Book Value) 1.736mn 1.639mn 6% P / BV 1,23 0,95 29% 2500 1,4% 1,2% 1,2% 2000 2.130 1,0% 1,0% 0,8% 1.736 1500 1.639 0,8% 0,7% 0,7% 1.550 1000 1.202 1.223 0,6% 1.020 965 0,4% 710 795 500 0,2% 0 0,0% 2014 2015 2016 2017 18Q2 Mcap Equit

  16. Slide 16: Net profit and P&L

    Change (%) Change (%) P&L 18Q2 17Q2 18Q1 (YoY) (QoQ) Tech. Income (*) 849 850 844 0% 1% Tech. Expenses -952 -932 -906 2% 5% Net Financial Inc. + Other Exp. (*) 182 109 200 67% -9% Deferred Tax -9 -2 15 350% -160% Gross Profit 70 25 154 180% -55% Tax -7 -1 -45 600% -84% Net Profit 63 24 109 163% -42%

  17. Slide 17: Assets and liabilities

    Assets 30.06.18 31.12.17 Liabilities 30.06.18 31.12.17 Cash + Marketable Sec. 4.880 4.608 Technical Provisions 4.798 4.456 Equity Participations 735 690 Shareholders' Equity 1.736 1.639 Other Assets 2.143 1.734 Other Liabilities 1.224 937 Assets 7.758 7.032 Liabilities 7.758 7.032 17

  18. Slide 18: Assets, shareholders' equity, investment portfolio and ROAE

    9.000 18,0% 17,1% 8.000 16,0% 7.758 7.000 14,0% 7.032 6.000 13,2% 12,0% 5.974 5.000 10,0% 4.888 4.803 4.497 4.000 8,0% 3.773 3.832 7,6% 3.000 7,4% 6,0% 5,9% 2.775 2.000 2.250 4,0% 1.639 1.736 1.000 1.223 2,0% 1.202 1.051 72 64 88 184 172 0 0,0% 2014 2015 2016 2017 18H1 Assets Shareholder's Equity In

  19. Slide 19: ROAE and ROE consolidated

    ROAE 17,1 13,2 7,55 7,41 5,85 2014 2015 2016 2017 18Q2 ROE - Consolidated 22,44 17,74 9,9 10,54 8,7 2014 2015 2016 2017 18Q2 ROE - Consolidated 19

  20. Slide 20: Investment portfolio breakdown

    Stocks Bonds 3% In 1H18; 9% Dividend from ANHYT 34 mn TRY Funds Investment Income * 361 mn TRY 11% Average Portfolio Income ~ 16,6% * ANHYT dividend excluded. TRY 4,44 bn Deposits 77% TRY 4,12 bn at 31.12.2017 20

  21. Slide 21: Forward-looking statements disclaimer

    This presentation contains forward-looking statements and information on the business development of Anadolu Sigorta. These statements may be spoken or written and can be recognized by terms such as “expects”, “anticipates”, “intends”, “plans”, “seeks” or words with similar meaning. These statements

  22. Slide 22: Thank you

    THANK YOU... meee 7 24c eee nadolusig

Anadolu Anonim Türk Sigorta Şirketi — Q2 2018 Earnings Presentation on 6ix