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

Anadolu Anonim Turk Sigorta Sirketi A.s — Q1 2019 Earnings Presentation

23 slides from Anadolu Anonim Turk Sigorta Sirketi A.s's earnings presentation, May 2, 2019

  1. Slide 1: Financial Results 1Q19 Earnings Call

    Financial Results 1Q19 Earnings Call May 2, 2019 1

  2. Slide 2: Content

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

  3. Slide 3: Sector highlights and top ten market share

    2019Q1 2018Q1 GPW Share GPW Share (mn TRY) (mn TRY) High investment yield environment Allianz 1.724 11,5% Allianz 1.469 11,6% Anadolu 1.609 10,7% Anadolu 1.378 10,9% Gradual price increase Aksigorta 1.058 7,0% Aksigorta 932 7,4% Axa 1.044 6,9% Ziraat 845 6,7% Non-motor driven growth Ziraat 1.018

  4. Slide 4: Sector premium production by branch

    BRANCHES 19Q1 18Q1 Change (YoY) (%) MTPL 4.099 3.636 12,7% MOD 2.119 1.827 16,0% Health 2.657 2.015 31,9% General Losses 2.298 2.127 8,1% Fire 2.127 1.690 25,8% Accident 585 456 28,3% General Liability 436 357 22,2% Marine Transportation 261 220 18,5% Financial Losses 128 97 31,9% Watercraft 95 72 3

  5. Slide 5: Highlights of Anadolu: financials, dividend, investment portfolio

    • Improving financials • Cash dividend payout (mn TRY) Change(%) Change(%) 100 (mn TRY) 19Q1 18Q1 18Q4 YoY QoQ 60 Gross Profit 176 154 38 14 363 30 Net Profit 125 109 76 15 64 2017 2018 2019 Net Profit* 99 75 76 32 30 100 mn TRY cash dividend 26.03.2019 (*) ANHYT dividend income excluded. Payout rat

  6. Slide 6: GPW branch breakdown

    18Q1 18Q2 18Q3 18Q4 19Q1 YoY(%) MOD 234 268 244 344 293 25,2 MTPL 376 377 382 416 405 7,7 FIRE 209 310 211 306 256 22,5 HEALTH 218 208 106 179 258 18,3 OTHER 341 319 275 379 397 16,4 TOTAL 1.378 1.482 1.218 1.624 1.609 16,8 1Q19 Breakdown GPW Branch Breakdown MOD 450 OTHER 18,2% 24,7% 400 350 300 25

  7. Slide 7: Market share and rank by branch

    Rank Market Share BRANCHES 18Q1 19Q1 Growth 19Q1 19Q1 MOD 234 293 1 14% 25% Fire 209 256 1 12% 23% General Liability 52 83 1 19% 58% Watercraft 27 32 1 34% 17% MTPL 376 405 1 10% 8% Aircraft 8 18 1 63% 113% Aircraft Liability 9 12 2 35% 35% Marine Transportation 18 27 3 10% 48% General Losses 180 17

  8. Slide 8: Premium Production by distribution channel – Sector vs ANSGR

    Premium Production – Sector Premium Production – ANSGR Other Other 13,0% 15,3% Broker 15,7% Broker 14,8% Agency 55,1% Agency 56,2% Bank 16,2% Bank 13,7% 8

  9. Slide 9: Accident and Health technical results

    18Q1 18Q4 19Q1 Change Change YoY QoQ • Premium & claims ratio decreased GPW 32,9 40,8 32,5 -1,4% -20,3% Accident Earned Premiums 31,9 31,8 29,8 -6,6% -6,3% Claims (Net) 9,1 6,9 1,4 -84,6% -79,7% Claims Ratio 28,6% 21,7% 4,7% -83,5% -78,3% 18Q1 18Q4 19Q1 Change Change YoY QoQ • Gradual price increase

  10. Slide 10: Land Vehicles and General Losses results

    18Q1 18Q4 19Q1 Change Change YoY QoQ • Significant progress on Land GPW 233,7 344,1 293,2 25,5% -14,8% claims ratio compared to 18Q4 as a result of decreasing claims Earned Premiums 238,9 263,7 273,7 14,5% 3,8% frequency Vehicles Claims (Net) 161,1 239,2 188,3 16,9% -21,3% Claims Ratio 67,4% 90,7% 6

  11. Slide 11: MTPL and Fire results

    18Q1 18Q4 19Q1 Change Change YoY QoQ • Recovery of claims ratio by more than 6% mainly GPW 376,1 415,6 405,3 8% -2,5% driven by decreasing claims MTPL Earned Premiums 241,4 241,6 245,2 2% 1,5% frequency Claims (Net) 233,8 283,7 272,2 16% -4,1% Claims Ratio 96,9% 117,4% 111,0% 15% -5,5% 18Q1 18Q4 19Q

  12. Slide 12: Combined Ratio

    Combined Ratio FY18 18Q4 19Q1 MOD 110,7% 115,9% 98,0% MTPL 127,9% 140,0% 136,6% Fire 105,9% 92,6% 105,6% Health 113,3% 120,8% 132,8% P.Accident 69,2% 65,5% 46,6% General Liability 114,8% 28,8% 80,4% General Losses 110,6% 117,7% 108,9% Total 113,0% 111,4% 112,7% 114% 113% 107% 107% 107% 103% 10% 10%

  13. Slide 13: Total assets, technical reserves, cash and equity

    Total Assets (mn TRY) (*) Tech. Reserves (mn TRY) 8.358 6.000 7.853 5.420 5.184 6.929 5.000 4.456 5.840 3.914 4.000 4.677 2.934 3.773 3.000 2.282 2.000 1.000 0 2014 2015 2016 2017 2018 19Q1 2014 2015 2016 2017 2018 19Q1 Cash and Marketable Sec. (mn TRY) (*) Shareholders' Equity (mn TRY) 6.000 5.325

  14. Slide 14: Market cap, book value and P/BV

    (TRY) 19Q1 2018 Change Mcap 1.950mn 2.055mn -5,1% Equity (Book Value) 1.620mn 1.646mn -1,5% P / BV 1,2 1,25 -4,2% 2500 1,4% 1,3% 1,2% 1,2% 2000 1,0% 2.055 1.950 1,0% 0,8% 1500 0,7% 0,7% 1.639 1.646 1.620 1.550 0,8% 1.202 1.223 0,6% 1000 1.020 965 0,4% 795 500 710 0,2% 0 0,0% 2014 2015 2016 2017 2018

  15. Slide 15: Net Profit and P&L

    Change (%) Change (%) P&L 19Q1 18Q1 18Q4 (YoY) (QoQ) Tech. Income (*) 973 844 976 15% 0% Tech. Expenses -1.095 -906 -1.084 21% 1% Net Financial Inc. + Other Exp. (*) 278 200 208 39% 34% Deferred Tax 20 15 -62 33% -132% Gross Profit 176 154 38 14% 363% Tax -51 -45 38 13% -234% Net Profit 125 109 76 1

  16. Slide 16: Assets and Liabilities

    Assets 31.03.1931.12.18 Change Liabilities 31.03.19 31.12.18 Change (%) (%) Cash + Marketable Sec. 5.471 5.101 7,3 Technical Provisions 5.421 5.184 4,6 Equity Participations 468 517 -9,5 Shareholders' Equity 1.620 1.646 -1,6 Other Assets 2.565 2.286 12,2 Other Liabilities 1.463 1.073 36,3 Assets 8.5

  17. Slide 17: Assets, Shareholder's Equity, Investment Portfolio

    9.000 60,0% 8.504 8.000 28,2% 7.904 27,4% 50,0% 7.000 7.032 6.000 40,0% 5.974 17,7% 5.000 4.888 4.842 30,0% 4.673 4.000 10,5% 4.117 3.773 18,7% 19,7% 9,9% 3.410 3.000 8,7% 20,0% 13,2% 2.000 2.408 7,4% 1.927 7,6% 10,0% 5,9% 1.639 1.646 1.620 1.000 1.202 1.223 1.051 184 308 72 64 88 125 0 0,0% 2014 20

  18. Slide 18: Investment portfolio breakdown and income

    In 19Q1; Other Dividend from ANHYT 26 mn TRY 1% Bonds 17% Investment Income * 264 mn TRY Average Portfolio Income ~ 23% * ANHYT dividend excluded. Funds %53 6% YoY increase in TRY 4,84 bn Investment Income Stock 2% Deposits* 74% *146 mn TRY loan netted off TRY 4,67 bn at 31.12.2018 18

  19. Slide 19: Innovation: new insurance products

    Commercial Cyber Commercial Credit Flight Delay Insurance Security Package Policy Insurance for SMEs on mobile now is on sale Managed by Government is avaliable at Anadolu Sigorta 19

  20. Slide 20: Insurance Products on Mobile

    Insurance Products on Mobile Personal Accident MTPL MOD Travel Insurance Complementary Health Greencard Insurance Mandatory Eartquake Insurance Cyber Security Future Education Insurance Household Comprehensive Flight Delay 20

  21. Slide 21: Features of Anadolu Health App

    Features of Anadolu Health App Access to policy features and all previous transcations Counts steps Blood pressure and diabetes can be tracked Access to medical history Documents can be uploaded Laboratory results can be monitored Prescriptions can be viewed 21

  22. Slide 22: 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

  23. Slide 23: Thank You

    THANK YOU... meee 7 24c eee nadolusig

Anadolu Anonim Türk Sigorta Şirketi — Q1 2019 Earnings Presentation on 6ix