Agesa Hayat Ve Emeklilik A.s. · BIST:AGESA
Agesa Hayat Ve Emeklilik A.s — H1 2023 Earnings Presentation
26 slides from Agesa Hayat Ve Emeklilik A.s's earnings presentation, Aug 8, 2023
Slide 1: Presentation to Investors H1 2023 Earning Release
Presentation to Investors H1 2023 Earning Release 8 August 2023 Şirkete Özel
Slide 2: Key Financial Results
Key Financial Results Şirkete Özel
Slide 3: Summary and Outlook
Summary and Outlook AgeSA strengthened its leadership in both Pension AuM and Life & PA AgeSA net profits grew significantly due to pension and credit life premium production among private companies thanks to significant technical profits and financial income despite inflationary pressures growth ac
Slide 4: Evolution of Our Performance
Evolution of Our Performance Life Business Credit Linked GWP (mTL) Other Life & PA Total Total GWP (mTL) RoP & Savings TL APE GWP (mTL) (mTL) 2.5X 2X 1.628 1.7X 3.200 2.2X 1.571 492 934 1.579 645 223 HY22 HY23 HY22 HY23 HY22 HY23 HY22 HY23 Market Share 11,5% Market Share 12,4% 3.2pp 0.9pp 8,2% 11,5%
Slide 5: Profitability (mTL)
Profitability (mTL) Management SFRS Net Profit Reporting Net Profit * 1.8X 930 1.7X 780 521 458 HY22 HY23 HY22 HY23 Şirkete Özel * Management Reporting: IFRS Financials excluding inflation accounting effect 5
Slide 6: A Story of Solid Profitable Growth
A Story of Solid Profitable Growth CAGR YoY 2018 2022 2018-22 H1 2023 2022-23 97% Leadership among private companies’ Pension and AE AUM Pension AUM (inc AE) 17.3 bTL 75.6 bTL 45% 103.5 bTL Leadership among private companies’ Total Life&PA GWP Total GWP (Life+PA) 565 mTL 3.717 mTL 60% 3.200 mTL 103%
Slide 7: Financials
Financials Şirkete Özel
Slide 8: Summary P&L from Segmental Reporting
Summary P&L from Segmental Reporting (1) 2019 2020 2021 2022 CAGR H1 2022 H1 2023 YoY Q1 2023 Q2 2023 QoQ Credit-Linked Life 417 550 938 1.538 55% 645 1.628 152% 785 844 8% Life RoP & Savings 431 667 967 2.046 68% 865 1.451 68% 670 782 17% Other Life & Personal Accident 140 115 115 132 -2% 69 120 74
Slide 9: Solid and Resilient Technical Profitability with Operating Leverage Potential
Solid and Resilient Technical Profitability with Operating Leverage Potential Technical Profit (mTL) (2) Expense Ratio (%)(1,2) Expense ratio=(Opex)/(Management Reporting Proft Before Tax-Opex) 51,5% 51,4% 48,5% 46,0% 45,4% 41,8% 42,6% CAGR: 41% 1.936 62% CAGR: 41% 2018 2019 2020 2021 2022 H1 2022 H
Slide 10: Investments: Prudent Though Opportunistic Approach
… Prudent Though Opportunistic Approach on Investments… Investment and Other Income (TLm) (2) Shareholders’ Asset Portfolio – H1 2023 (mTL)(1) (2) Total: 3.401 mTL Source: Company information. Management Reporting: IFRS Financials excluding inflation accounting effect, unaudited results Şirkete Özel
Slide 11: Flexible Dividend Policy Focused on Growth
Flexible Dividend Policy Focused on Growth Dividend Policy Objective set amongst core shareholders to aim at distributing 50% of AgeSA’s Turkish GAAP-based distributable profit Solvency ratio of 150% level is set as comfort level in our risk framework for evaluating our distributable profit. 150 mTL
Slide 12: Overview - Business Lines
Overview - Business Lines Şirkete Özel
Slide 13: Differentiated Management of Trends & Dynamics per Segment
Differentiated Management of Trends & Dynamics per Segment Pension* Credit-Linked Life RoP & Savings Life** AUM – Inc. State contribution (mTL) Gross Written Premium (mTL) Gross Written Premium (mTL) FMC % (inc. State contribution) 152% 1,4 1,3 1,3 1,1 1,2 1,3 1,2 CAGR: 55% CAGR: 68% 1.628 97% 1.538
Slide 14: Pension
Pension (1) Sustainable Growth and Scale Ambitions Pensions AUM including State Contribution (mTL) Private Pension Fund Mix 97% 103.518 CAGR: +45% 75.640 52.467 43.502 99.997 30.473 72.758 23.133 17.304 50.630 42.094 22.358 29.414 16.868 100 2018 2019 2020 2021 2022 H1 2022 H1 2023 bTL AE AuM 436 77
Slide 15: Credit Linked and RoP&Savings Life
Credit Linked and RoP&Savings Life Sustainable and Resilient Growth Model Fuelled by Multidistribution Channel Structure Credit Linked GWP (mTL) RoP&Savings GWP (mTL) CAGR: +55% 152% CAGR: +68% 1.628 2.046 1.538 68% 1.451 938 967 645 865 550 667 417 431 2019 2020 2021 2022 H1 2022 H1 2023 2019 2020
Slide 16: Solvency II Value of New Business
Solvency II Value of New Business Şirkete Özel
Slide 17: Diversified business model supporting value growth
Diversified business model supporting value growth Solvency II w/RW Total Pension Credit-linked Life ROP&Savings Other Life&PA 2022 Q2 2023 Q2 2023 Q2 2023 Q2 2023 Q2 2023 Q2 189 % PVNBP (m TL) 7,406 21,430 17,894 1,698 1,712 125 95 % VNB (m TL) 454 885 402 361 103 19 2,2% 21,2% 15,2% New Business 6
Slide 18: Disclaimer
Disclaimer The information in this presentation has been prepared by AgeSA Hayat ve Emeklilik A.Ş. (the “Company”) solely for use at a presentation concerning the Company, its proposed listing on the Borsa İstanbul. This presentation does not constitute or form part of, and should not be construed a
Slide 19: Thank you
Thank you Şirkete Özel
Slide 20: Appendix
Appendix Şirkete Özel
Slide 21: Total Life Premium Production to Expand
Total Life Premium Production to Expand Life + Personal Accident H1 2023 / H1 2022 YoY Total Premium Growth Rate DSF+Agency * Non-Credit Linked 80% 927 mTL (29%) Bancassurance 55% 645 mTL (20%) Non-Credit Linked 151% 1.628 mTL (51%) Bancassurance Credit Linked 126% 3.200 mTL (Total Company) (Total C
Slide 22: Solid Sales Culture through a Multidistribution Platform
Solid Sales Culture through a Multidistribution Platform to Expand Scale and Penetration in Pension and Life Exclusive 15-year Largest and most distribution Bancassurance Direct sales force (DSF) productive direct sales agreement # Branches Akbank: ~ 800 force in the sector # FAs: ~ 630 (covering 17
Slide 23: Summary of P&L from SFRS Reporting
Summary of P&L from SFRS Reporting 2018 2022 CAGR H1 2022 H1 2023 YoY Q1 2023 Q2 2023 QoQ Pension Technical Profit 303 733 25% 332 662 99% 350 312 -11% Life Technical Profit 277 1.394 49% 584 978 67% 527 450 -15% Non-Life Technical Profit 62 77 5% 29 55 89% 25 30 23% Total Technical Profit 642 2.173
Slide 24: Reconciliation between IFRS & Statutory Profit
Reconciliation between IFRS & Statutory Profit IFRS vs. Statutory Profit for the Period (mTL) Profit for the Period Reconciliation (mTL) 2018 2019 2020 2021 2022 CAGR H1 2022 H1 2023 YoY CAGR: 52% 1.127 IFRS Profit for the Period 214 258 350 541 1.127 52% 521 930 78% 78% 930 Equalisation Reserve wri
Slide 25: Capital-Light Business Model & Strong Solvency Position
Capital-Light Business Model & Strong Solvency Position Comfortable solvency ratios driven by a measured approach to risk and new product introductions, which affords the business scope and flexibility pursuing growth options and / or returning cash to shareholders Regulatory Capital Requirement Sol
Slide 26: Other Life & Personal Accident
Other Life & Personal Accident A Complementary Profit Pool for the Group GWP (mTL) Technical Profit (mTL) CAGR: -2% CAGR: -2% 59 60 56 140 55 133 74% 115 115 120 117% 33 69 15 2019 2020 2021 2022 H1 2022 H1 2023 2019 2020 2021 2022 H1 2022 H1 2023 Market Share % (in terms of GWP) Market Share Of Age
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