Menora Mivtachim Holdings Ltd. · TASE:MMHD
Menora Mivtachim — Q2 2024 Earnings Presentation
41 slides from Menora Mivtachim's earnings presentation, August 2024
Slide 1: Analyst Presentation
& QV) MENORA MIVTACHIM Analyst | Presentation Menora Mivtachim | august 202
Slide 2: General clarifications
General clarifications This presentation includes only partial information regarding the Group's results for the period ended June 30, 2024 and was prepared solely for the sake of brevity and convenience. The presentation does not include the full information needed by an investor to make a decision
Slide 3: Operating results highlights Details of changes in income by segment
01 Operating results highlights 02 Details of changes in income by segment 03 The Group’s Strengths
Slide 4: Glossary of Terms
Glossary of Terms sil Underwriting income / operating income The operating results, which include stating a real normative return of 3% (annualized) in respect of the liability component that is not backed by Hetz bonds, including for the purpose of calculating variable management fees Investment in
Slide 5: For the
16.3 14.5 490 265 701 = =363 15.3% 9.0% For the period NIS billion | NIS billion NIS million | NIS million NIS million | NIS million 1-6/2024 1-6/2023 1-6/2024 1-6/2023 1-6/2024 1-6/2023 1-6/2024 1-6/2023 “cua ae rome manne eo 8.1 7.2 260 ‘111 389 236 16.2% 7.5% quarter NIS billion NIS billion NIS m
Slide 6: NIS billion CAGR NIS billion CAGR
345.3 12.0% 6.75 —‘(11.3% NIS billion CAGR NIS billion CAGR June 30, 2024 (2018-6.2024) (2018-6.2024) 157.4% 2 6 vs 3 4 5 sate Company's rating - Aa2 Netofthe Transitional” | NIS billion Insurer's rating - Aat (1) Menora Insurance - without applying the Provisions for the Transitional Period, includ
Slide 7: Operating results highlights
| Operating results highlights Growth in profitability | NIS million Comprehensive income, after tax attributable to the shareholders Comprehensive income before tax Underwriting income | Other income: +225 +360 490 755 265 395 701 363 33 54 1-6/2023 1-6/2024 1-6/2023 1-6/2024 4149 +219 260 397 178
Slide 8: Comprehensive income before tax
__ Comprehensive income before tax For the 1-6 period 755 396 395 222 171 147 136 ss“? 100 108 “1 (30) P&C _Long-termsavings Health Notattributedto Total P&C Long-term savings operating segments 1-6/2023 | 1-6/2024 86 88 ml | u (37) For the 4-6 quarter 178 46 Health Not attributed to Total operating
Slide 9: Underwriting income
Underwriting income Substantial improvement in underwriting income and profitability across all areas of activity for the 1-6 period | NIS million Ds | 1-6/2024 rm 01 103 [15] 1-6/2023 Be 363 [7%] n [25%] Pension [Provident Health Life |) P&C Increase of approx. NIS 338 million compared to correspon
Slide 10: Underwriting income
Underwriting income Substantial improvement in underwriting income and profitability across all areas of activity for the 4-6 period | NIS million Bn 4-6/2024 n 389 [19%] 23 [6%] 43 (18%) Pes [3%] 4-6/2023 ® 236 65 [28%] Pension jggProvident Health life P&C Increase of approx. NIS 153 million compar
Slide 11: Comprehensive income before tax
_ Comprehensive income before tax Comprehensive income before tax for the 1-6/2024 period compared to the corresponding period last year +360 755 (46) 26 207 395 395 701 7 p38 —— 363 68 o \(35) (55) OD OCR (MRD MEO) eo SR SESE Ee 1-6/2023 1-6/2024 term savings operating segments Other jj Investments
Slide 12: Comprehensive income before tax
_ Comprehensive income before tax 178 7 +153 7 236 (28) 4-6/2023 Other jy Investments and interest 397 (51) 4-6/2024 Underwritin g income Comprehensive income before tax for the 4-6/2024 quarter compared to the corresponding quarter last year +219 an] 57 153 4-6/2023 | Underwriting Underwriting — Un
Slide 13: *) Do not include the contributions towards benefits deposited with pension funds and provident
*) Do not include the contributions towards benefits deposited with pension funds and provident funds (excluding guaranteed return provident funds tracks) as well as proceeds in respect of investment contracts which are recognized directly in insurance liabilities, and not recognized as premiums in
Slide 14: Assets under management
| Assets under management Development of assets under management by areas of activity in the period 2018-6.2024 | NIS billion 219.9 32.1 ese =m 221.2 2409 185.2 190.6 139.2 155.0 115.0 279 32.3 33.5 35.8 324 33.3 eM ee December December December December December December June 30, 31, 2018, 31, 2019
Slide 15: Operating results highlights
O1 Operating results highlights O02 Details of changes in income by segment 03 The Group’s Strengths
Slide 16: P&C insurance
P&C insurance For the 1-6 period | NIS million Composition of underwriting income by segment 1-6/2023 |) 1-6/2024 8.9%) 352 203 145 69 30 52 58 61 37 | nm =, (12) Other property Other liability | Motor property Compulsory motor Total subsegments subsegments Composition of gross premiums by segment ©
Slide 17: P&C insurance
P&C insurance For the 4-6 quarter | NIS million Composition of underwriting income by segment 4-6/2023 [) 4-6/2024 GR) 210 120 105 48 44 1g 25 32 6 2! = a =, Other property Other liability Motor property Compulsory motor Total subsegments subsegments Composition of gross premiums by segment 1) Motor
Slide 18: P&C insurance
P&C insurance Development of income | NISmillion Underwriting income before tax Comprehensive income before tax » » 517 407 352 265 6: 260 OER 145 2019 2020 2021 2022 2023 " 4-6/2023 1-6/2024 571 474 487 396 21 236 147 2019 2020 2021 2022 2023 1-6/2023 1-6/2024 g'"
Slide 19: Long-term savings
| Long-term savings For the 1-6 period | NIS million Underwriting / operating income for the 1-6/2024 period compared to the corresponding period last year 1-6/2023 ll 1-6/2024 6) Change in pre-tax income 1-6/2024 period compared to the corresponding period last year 258 194 128 91 103 90 |__| Life
Slide 20: Long-term savings
| Long-term savings For the 4-6 quarter | NIS million Underwriting / operating income before tax for the 4-6/2024 quarter compared to the corresponding quarter last year 4-6/2023 |) 4-6/2024 65 70 43 23 = _ |___—i Life insurance Pension Provident Total Composition of premiums and contributions towar
Slide 21: Health
| Health For the 1-6 period and 4-6 quarter | NIS million Profit (loss) before tax for the 1-6/2024 period compared to the corresponding period last year +118 y (:) 67 (30) 1-6/2023 Underwritin Investmen Interest Special 1-6/2024 g income tincome Items 1-6/2024 a1 (33) 48 (18) 1-6/2023 24 (6) (34) (
Slide 22: Health
| Health Collective long-term care - transition from a risk-bearing model to an operational model > As from January 2024 Menora has been operating the long-term care insurance of the Maccabi health maintenance organization, without bearing the insurance risk and in consideration for management fees
Slide 23: The Group's Strengths
O1 Operating results highlights O2 Details of changes in income by segment O03 the Group’s Strengths gG'\*
Slide 24: The Group's Strengths
| CU The Group’s" Strengths will mil High, stable profitability over time ‘Leaders in pension @) The Largest and Most Profitable Pension Company =O) Leaders in P&C insurance Excess profitability relative to industry over time Low exposure to individual long-term care and executive insurance
Slide 25: The Group's Strengths
The Group’s" Strengths Excess capital, solvency and dividend Diversified income mix and structure Extensive activity in insurance-related areas, which have low sensitivity to the capital market, such as pension, credit (ERN and Ampa) and insurance agencies Stable ownership and management structure o
Slide 26: High, stable profitability over time
NU) MENORA on ENGR i‘ @ Tt High, stable profitability over time } ip
Slide 27: Profitability and shareholders' equity
ab Profitability and shareholders’ equity Development of comprehensive income after tax attributable to the shareholders and equity NIS million Consistent profitability over time post-tax comprehensive income 950 654 709 HDs 490 410 265 2019 2020 2021 2022 2023 1-6/2023 1-6/2024 (1) Including share
Slide 28: High, stable return on equity over time
ie High, stable return on equity over time Average return on equity Return on equity Standard deviation in 2019-3.2024 2019-6.2024 fluctuations in return on equity in ° 2019-3.2024 24.0% 13.8% 19.7% Menora — 4.0% 2 16.2% 5 15.6% 10.4% ; 14.3% company A |S 7.7: 13.4% 49 9%, 12.0% 9.6% Company B 7.1%
Slide 29: High, stable return on equity over time
30% 20% High, stable return on equity over time Return on equity 2019-6.2024 19.7% 13.9% Multi-year average- Menora Multi-year average of the major insurance companies 5% 4 -10% J 2019 2020 2021 2022 2023 1-3/2024 4-6/2024 Standard deviation - 2019-3.2024 [il] Menora—4.0% [| Company A-7.7% lj Compan
Slide 30: Excess capital, solvency and dividend
NU) MENORA on QQ MENoRA i‘ o aaaae. Excess capital, solvency and dividend
Slide 31: Solvency ratio comparison
180% 154.5% 157.4% 160% 144.5% 138.6% 134.7% 140% 120.2% 120.5% 120% 100% 80% 60% 40% 20% 0% 2018 2019 2020 2021 2022 30.6.2023 June 30, 31.12.2023 December 30, 2023 2023 מנורה Menora חברה ד Company D חברה ג Company C בCompany חברהB חברה א Company A
Slide 32: The Group's Strengths - Leaders in pension
NY) MENORA be aa a’ w SER The Group’s Strengths - Leaders in pension le The Largest and Most
Slide 33: Pension market comparison
Company D Company C Company A Company B Menora
Slide 34: Operating income - Pension and Provident
i Operating income - Pension and Provident Consistent improvement in profitability of the Pension and Provident Subsegment Increase in operating income Davcle Rene! NSO) GMAEE? || EAL As a result of an increase in management fees (NIS 52 million) No change in expenses 1-6/2023 7-12/2023 1-6/2024 103
Slide 35: The Group's Strengths - Leaders in P&C insurance
NU) MENORA on QQ MENoRA i‘ o Tt The Group’s Strengths - Leaders in P&C insurance Excess profitability relative to industry over time a PoP TE aa
Slide 36: Leaders in motor insurance (compulsory and property)
@ Leaders in motor insurance (compulsory and property) Stable profitability over time and positioning as a market leader | NIS million Profitability of compulsory motor and motor property over time Market share of compulsory motor and property subsegments - gross premiums for the 1-3/2024 quarter 42
Slide 37: P&C profitability comparison
Menora Company A Company B Company C Company D
Slide 38: Low exposure to individual long-term care and executive insurance
NY) MENORA be aa a’ w SER bas | ee | ia The Group’s Stre | We ngths Low exposure to individual long-term care and executive insurance and growth in individual life insurance
Slide 39: Life Insurance and Health Insurance
o Life Insurance and Health Insurance Low exposure to individual LTC and executive insurance - Products with significant insurance risk and onerous capital requirements Low exposure to individual long-term care Premiums for 1-3/2024 quarter | in NIS million Company D Menora Company A 69 [14.1%] 120
Slide 40: Life insurance
oO Life insurance Growth in profitable products Growth in individual life premiums 13.2% 10.6% 13.2% Growth in the 1-3/2024 quarter compared to the corresponding quarter last year Companies A-D 8.5 oe 11.3% average annual growth in the 2020-2023 period Companies A-D Rate of individual life insurance
Slide 41: Thank you
gi Thank you
Menora Mivtachim Holdings — Q2 2024 Earnings Presentation on 6ix