Great Eastern Holdings Limited · SGX:G07
Great Eastern — Q2 2018 Earnings Presentation
11 slides from Great Eastern's earnings presentation, Jul 31, 2018
Slide 1: Financial Results for Q2-18 and 1H-18 Supplementary Information
GREAT EASTERN HOLDINGS LIMITED Financial Results for Q2-18 and 1H-18 Supplementary Information 31 July 2018 Disclaimer: This material should be read as an overview of GEH’s current business activities and operating environment. It should not be solely relied upon by investors or potential investors
Slide 2: Overview of Q2-18 and 1H-18 Financial Results
Overview of Q2-18 and 1H-18 Financial Results S$’m Q2-18 Q2-17 ∆ 1H-18 1H-17 ∆ Total Weighted New Sales1&4 326.7 256.0 +28% 557.8 536.1 +4% New Business Embedded Value2 to 4 139.5 128.7 +8% 240.2 239.7 +0.2% Operating Profit (net of tax)4&5 from 153.0 158.1 -3% 312.3 278.9 +12% Insurance Business No
Slide 3: Q2-18 Key Highlights
Q2-18 Key Highlights • Group’s TWNS at S$326.7 million for Q2-18 was 28% higher than last year, underpinned by growth in Singapore and Malaysia. • Group’s NBEV was 8% higher at S$139.5 million for Q2-18, contributed by higher sales. NBEV margin was lower at 42.7% as a result of shift in product mix.
Slide 4: Total Weighted New Sales (TWNS) – By Market
Total Weighted New Sales (TWNS) – By Market Higher Group’s TWNS for Q2-18 compared to same quarter last year: • Higher sales from agency and bancassurance channel in Singapore. +28% +4% 557.8 536.1 9.4 12.6 470.8 TWNS – By 5.3 156.7 160.9 Market (S$ m) 121.1 326.7 280.1 305.7 5.9 256.0 4.6 4.5 231.1
Slide 5: Singapore TWNS – By Channel Mix
Singapore TWNS – By Channel Mix TWNS in Singapore of S$230.1 million for Q2-18, higher than same period last year: • Higher sales through agency and bancassurance channel. +38% +4% 384.3 370.0 10.9 12.4 344.4 2.8 193.0 225.7 230.1 Singapore 225.5 202.9 146.3 167.1 3.6 5.5 TWNS – By 6.4 154.2 Channel
Slide 6: Malaysia TWNS – By Channel Mix
Malaysia TWNS – By Channel Mix TWNS in Malaysia of S$90.7 million for Q2-18; higher than same period last year : • Contributed by growth in both agency and bancassurance channel. Malaysia TWNS – By Channel Mix (S$ m) 6
Slide 7: New Business Embedded Value (NBEV) - By Market
New Business Embedded Value (NBEV)- By Market Higher NBEV of S$139.5 million; but NBEV margin at 42.7% for Q2-18 was lower than Q2-17: • Higher NBEV was contributed by Malaysia. • Lower margin as a result of change in product mix. 50.3% 44.7% 43.1% 39.6% 40.8% 43.6% 42.7% NBEV 37.9% Margin (%) +8% +
Slide 8: Breakdown of Profit from Insurance Business
Breakdown of Profit from Insurance Business Profit from insurance business of S$172.0 million for Q2-18 : • Slightly lower operating profit. • Non-operating profit due to gains from favorable interest rate movement, narrowing of swap spread and gains from equities. -7% +46% 326.2 13.9 223.7 242.8 24
Slide 9: Profit from Shareholders' Fund
Profit from Shareholders’ Fund Profit from Shareholders’ Fund of S$69.1 million for Q2-18 was higher than Q2-17: • Lower management expense +40% -32% 182.7 23.7 103.8 42.0 Profit from 70.1 243.7 54.6 69.1 Shareholders’ 43.8 49.2 47.4 20.4 21.6 21.3 Fund (net of 129.1 22.8 tax) 68.6 67.6 1.0 64.7 61.
Slide 10: Group Profit Attributable to Shareholders
Group Profit Attributable to Shareholders Profit attributable to shareholders was S$237.6 million for Q2-18 : • Higher profit from shareholders’ fund. • Lower operating and non-operating profit from insurance business. +3% +21% 390.5 426.8 322.4 70.1 287.5 182.7 237.6 103.8 231.6 47.4 49.2 152.9 Gro
Slide 11: Thank You
THANK YOU 11
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