Grupo de Inversiones Suramericana S.A. · BVC:GRUPOSURA
Grupo de Inversiones Suramericana — Q4 2021 Earnings Presentation
25 slides from Grupo de Inversiones Suramericana's earnings presentation, February 2022
Slide 1: Results Presentation Grupo SURA 4Q-2021
Results Presentation GRUPO SURA 4Q - 2021
Slide 2: Disclaimer
The forward-looking statements contained herein are based on DISCLAIMER Management’s current forecasts and outlook, which have been made under assumptions and estimates of the management of the Companies and may present variations. For better illustration and decision-making, figures for Suramerican
Slide 3: Language selection / Webcast
Selección de idioma / Language selection Webcast To change the audio language, click the icon. Para cambiar de idioma, haga clic en icono de su preferencia.
Slide 4: Grupo SURA
GRUPO SURA
Slide 5: Net income recovered in 2021 to pre-pandemic levels
Net income recovered in 2021 to pre-pandemic levels Driven by double-digit growth in all lines of revenue and operating expenses control Resultados Financieros TOTAL REVENUES SURAMERICANA WRITTEN PREMIUMS SURA AM COMISSIONS RESULTADOS COPFINANCIEROS 4 Tn of organic growth In addition to efficiency e
Slide 6: Initiatives to generate value for all shareholders
Initiatives to generate value for all shareholders Strategic priorities of last couple of years, with recent results and projections for the medium term Strategic Initiatives PROFITABILITY AND VALUE DELEVERING AND CAPITAL PREPARING FOR CAPITAL GENERATION OPTIMIZATION MARKETS WITH GREATER DEPTH • 202
Slide 7: Grupo SURA - ESG
Grupo SURA - ESG We promote the dynamics of economic growth, from a comprehensive and harmonious development HUMAN, SOCIAL AND NATURAL CAPITAL SUSTAINABLE INVESTMENT POLICY DEMOCRACY AND CITIZENSHIP • Policy update, with sector exclusions and risk prioritization • Promotion of citizen training, stre
Slide 8: Grupo SURA has been under passivity rule
Grupo SURA has been under passivity rule Valid from the request of the first takeover bid Public Acquisition Offer for Grupo SURA Passivity Rule • It aims to limit any information or decision that could be interpreted as interference with the offer • The Company, the Administration and the Board of
Slide 9: Increase in net income
Increase in net income Leveraged on revenue growth that shows the resilience and soundness of the companies in our portfolio C O N S O L I D AT E D I N C O M E S TAT E M E N T EVOLUTION IN PREMIUMS AND COMISSIONS INCOME 6.6 dic-21 dic-20 Var$ Var% 5.0 5.4 Written premiums 22,487 19,337 3,150 16.3% R
Slide 10: Equity Method closes 2021 and the fourth quarter at record level
Equity Method closes 2021 and the fourth quarter at record level Due to the good levels of performance obtained by Bancolombia and Grupo Nutresa for the quarter EQUITY METHOD Accumulated Quarterly dic-21 dic-20 Var% 4Q2021 4Q2020 Var% Bancolombia 1,001 68 354 -65 Grupo Argos 43 -46 (9) -20 -54.4% Gr
Slide 11: Operating expenses increasing at lower rates than revenues
Operating expenses increasing at lower rates than revenues Which allowed a healthy recovery of the businesses in financial terms QUARTERLY EVOLUTION OF OPERATING EXPENSES CONSOLIDATED OPERATING EXPENSES 46.8% 46.7% Accumulated Quarterly dic-21 dic-20 Var% 4Q2021 4Q2020 Var% 44.4% 43.7% 43.5% Suramer
Slide 12: Suramericana
SURAMERICANA
Slide 13: Net income closed the year in positive territory
Net income closed the year in positive territory Explained by the growth in premiums and the control of expenses that mitigates the higher claims rate WRITTEN PREMIUMS RETAINED CLAIMS % Retained earned premiums dic-21 dic-20 Var% 6.4 Written premiums 21,789 18,707 16.5% 5.7 68% 71% 71% 70% 71% Retai
Slide 14: Life segment continues to show a less degree of claims
Life segment continues to show a less degree of claims In addition to double-digit growth in written premiums GROWTH OF COP 211 BN IN WRITTEN PREMIUMS WORKERS’ COMPENSATION PREMIUMS INCREASED COP 62 BN 1.5 1.7 1.7 90% 474 500 1.5 1.4 Var 4Q21: 80% 71.8% 450 64.9% +13.9% 400 70% 72% 60% 350 67% 68% 5
Slide 15: Growth path continue in premiums for Property and Casualty Segment
Growth path continue in premiums for Property and Casualty Segment Which contrasts to the claims frequency rates returning to normal in the mobility solutions compared to the previous year HIGHER GROWTH IN WRITTEN PREMIUMS CONTROL OF EXPENSES AS A PERCENTAGE OF REVENUES 3.2 26% 24% 24% 2.3 23% 23% 2
Slide 16: YTD Sustained Growth for Health Care segment
YTD Sustained Growth for Health Care segment Despite the increase in claims ratio mitigated by the lower amount of severity GROWTH OF COP 233 BN IN WRITTEN PREMIUMS CLAIMS RATIO 94.0% 92.1% 90.8% 88.8% 88.3% 2.1 1.9 1.8 1.5 1.7 4Q20 1Q21 2Q21 3Q21 4Q21 4Q20 1Q21 2Q21 3Q21 4Q21 Claims ratio Written p
Slide 17: SURA Asset Management
SURA ASSET MANAGEMENT
Slide 18: Double-digit increase in operating revenues as of December
Double-digit increase in operating revenues as of December Supported in the growth in commission income and good levels of performance obtained with seed capital investments COMMISSION INCOME OPERATING EARNINGS OPERATING EARNINGS EXC. ENCAJE* * 664 684 687 637 621 383 dic-21 dic-20 Var$ Var% 291 312
Slide 19: Retirement Savings segment continues with a good performance
Retirement Savings segment continues with a good performance Driven by the positive evolution in commission income followed by an increase of the salary base and AUM in México ORGANICAL INCREASE IN AUM (COP TN) INCREASE OF COP 41 BN IN COMMISSION INCOME 562 578 583 542 527 480 480 489 Total: (+7.5%)
Slide 20: Positive results of the Inversiones SURA + IM lines of business
Positive results of the Inversiones SURA + IM lines of business With revenues and AUM growth GROWTH OF COP 10 BN IN AUM ANNUAL NET FLOW CLOSED IN COP 2.4 TN 76.9 1.9 72.3 70.9 71.4 1.5 66.9 1.2 0.6 (1.2) 4Q20 1Q21 2Q21 3Q21 4Q21 4Q20 1Q21 2Q21 3Q21 4Q21 Net Flow (COP tn) AUM (COP tn) COMISSIONS INCO
Slide 21: Guidance
GUIDANCE
Slide 22: Suramericana: Forecast
Suramericana: Forecast Expectations of double-digit growth continue with an improvement in profitability given a normalization of claims 2022 3 years (2024) Written Premiums 11%-13% Written Premiums CAGR 2021-2024: 10% - 12% Adjusted ROE 11% - 12% Claims ratio 70% - 71% ROTE 16% - 17% Admin. Expense
Slide 23: SURA Asset Management: Forecast
SURA Asset Management: Forecast Fee income impacted in 2022 by the decrease in fees in Mexico that are partially offset by efficiencies 2022 3 years (2024) Commission CAGR 2021-2024: AUM 10-12% income* 4%- 6% Adjusted ROE 7% - 8% Commission (2%) - (5%) income* ROTE 22% - 23% Operating Margin* 40%-42
Slide 24: Grupo SURA: Forecast
Grupo SURA: Forecast Grupo SURA is the sum of parts, which reflects a focus on profitability added to deleveraging efforts 2022 3 years (2024) Debt / Received < 2.5x Net Income 10-15% Dividends Debt / Received 3.7x – 4.3x Adjusted ROE 11% - 12% Dividends Adjusted ROE 8% - 9% Consolidated metrics. 24
Slide 25: Contacto Relación con Inversionistas y Mercado de Capitales
CONTACTO RELACIÓN CON INVERSIONISTAS Y MERCADO DE CAPITALES Gerente Inversionistas y Mercado de Capitales: Especialista Inversionistas y Mercado de Capitales: CARLOS EDUARDO GONZALEZ MARIA ALEJANDRA DUQUE cegonzalezt@gruposura.com.co maduque@gruposura.com.co Director Inversionistas y Mercado de Capi
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