Allianz Malaysia Bhd. · MYX:ALLIANZ
Allianz Malaysia Bhd — Q3 2017 Earnings Presentation
26 slides from Allianz Malaysia Bhd's earnings presentation, Nov 23, 2017
Slide 1: Allianz Malaysia Berhad Financial Results 3Q 2017 Analyst Briefing
Allianz Malaysia Berhad (12428-W) Financial Results 3Q 2017 Analyst Briefing 23 November 2017
Slide 2: AMB Group Results
Allianz @i) AMB Group Results
Slide 3: Maintain Growth
Allianz Malaysia Berhad (12428-W) Maintain Growth Operating revenue Group operating revenue of RM3.59 billion, an increase of 3.6% as compared to corresponding period of RM3.47 billion due to higher gross earned premiums and investment income by RM75.0 million and RM48.2 million respectively. Ge
Slide 4: Financial Highlights 9M 2017: Group Operating Revenue
Allianz Malaysia Berhad (12428-W) Financial Highlights 9M 2017 Group Operating Revenue (RM’mil) General Business (RM’mil) +3.6% +0.8% 1,686.8 1,699.7 9M 2016 9M 2017 3,467.9 3,591.1 Life Business (RM’mil) +6.2% 1,771.3 1,880.8 9M 2016 9M 2017 9M 2016 9M 2017 4
Slide 5: Financial Highlights 9M 2017: Group Gross Written Premiums
Allianz Malaysia Berhad (12428-W) Financial Highlights 9M 2017 Group Gross Written Premiums (“GWP”) (RM’mil) General Business (RM’mil) +2.9% +1.3% 1,615.5 1,636.5 9M 2016 9M 2017 3,147.3 3,238.6 Life Business (RM’mil) +4.6% 1,602.1 1,531.8 9M 2016 9M 2017 9M 2016 9M 2017 5
Slide 6: Financial Highlights 9M 2017: Group Profit Before Tax
Allianz Malaysia Berhad (12428-W) Financial Highlights 9M 2017 Group Profit Before Tax (RM’mil) PBT Drivers (RM’mil) -6.8% 333.6 310.9 +1.0 -47.1 +23.4 333.6 310.9 PBT General Life Investment PBT 9M 2016 Business Business Holdings 9M 2017 9M 2016 246.6 90.0 (3.0) 333.6 9M 2017 199.5 113.4 (2.0) 310.
Slide 7: Financial Overview
Allianz Malaysia Berhad (12428-W) Financial Overview 3 YEAR RM’mil 2014 2015 2016 9M 2016 9M 2017 CAGR Gross Written Premiums 3,968.2 4,132.7 4,182.6 5.3% 3,147.3 3,238.6 Management Expenses 436.0 464.8 513.2 8.7% 370.1 437.3 Expense Ratio (Non 16.9% 19.9% 17.3% 16.9% 17.4% 0.5 pts Life) Expense Rat
Slide 8: Summary of unaudited Financial Results
Allianz Malaysia Berhad (12428-W) Summary of unaudited Financial Results RM’mil 9M 2016 9M 2017 17/16 % Operating revenue 3,467.9 3,591.1 3.6% Gross earned premiums 3,100.7 3,175.7 2.4% Premiums ceded to reinsurers (374.8) (237.6) 36.6% Net earned premiums (“NEP”) 2,725.9 2,938.1 7.8% Net change in
Slide 9: General Business
Allianz @i) * ——_— — - All } \ General Business
Slide 10: General Business
Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business Gross written premiums Gross written premium growth by 1.3% as compared to prior year. Combined ratio Higher combined ratio due to higher expense ratio (exceptional provision for impairment on insurance receivables).
Slide 11: General Business: GWP is 1.3% above prior year
Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: GWP is 1.3% above prior year Gross Written Premiums (RM’mil) +1.3% Distribution Channel & Portfolio Mix Telemarketing 1,636.5 2.6% 1,615.5 Agent 60.5% Motor 61.0% Broker 10.5% 547.0 540.1 561.0 550.9 Banca 528.4 524.6 7
Slide 12: General Business: Stable growth in investment income
Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Stable growth in investment income Net Investment Results/Net Operating Expenses (RM’mil) +6.6% Portfolio Mix and Investment Yield (Annualized) Portfolio Mix Investment Yield 123.2 115.6 Deposit Property 0.8 9.0% 0.6% C
Slide 13: General Business: Lower underwriting profit from higher expense ratio
Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Lower underwriting profit from higher expense ratio Profit Before Tax (RM’mil) -19.1% PBT Drivers (RM’mil) 246.6 (55.5) 246.6 1.4 199.5 7.0 199.5 90.0 82.7 73.9 73.5 75.3 PBT UW Investment Others PBT 50.7 9M 2016 result
Slide 14: General Business: Lower underwriting profit as compared to prior year
Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Lower underwriting profit as compared to prior year Comments Underwriting Result Drivers (RM’mil) Comments (4.8) Malaysian Motor Insurance Pool - Release of 131.8 (27.1) MMIP claims reserve for Q4 2015 booked in Q1 20
Slide 15: General Business: Higher combined ratio due to higher expense ratio
Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Higher combined ratio due to higher expense ratio Combined Ratio -4.5 pts 98.6% 94.4% 88.6% 89.7% 91.4% 89.9% 92.6% 92.0% 20.2% 18.7% 20.3% 19.3% 19.9% 15.3% 16.8% 16.9% 65.6% 62.0% 61.1% 62.5% 62.6% 62.1% 59.7% 60.6% 1
Slide 16: General Business: Unaudited financial results at a glance
Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Unaudited financial results at a glance RM’mil 9M 2016 9M 2017 17/16 % Gross written premiums 1,615.5 1,636.5 1.3% Gross earned premiums 1,568.9 1,573.6 0.3% Net earned premiums 1,306.8 1,368.7 4.7% Net change in claim
Slide 17: Life Business
Allianz @i) Life Business
Slide 18: Life Business
Allianz Life Insurance Malaysia Berhad (104248-X) Life Business Gross written premiums Gross written premiums grew by 4.6%. Distribution Strong performance from Agency and Bancassurance. Agency ANP achieved 10.5% growth. Remain focus on building professional and productive agency force. Banc
Slide 19: Life Business: Growth in GWP mainly from Agency, Bancassurance and Employee benefits
Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Growth in GWP mainly from Agency, Bancassurance and Employee benefits channels Gross Written Premiums (“GWP”) (RM’mil) +4.6% GWP Mix & Growth (%) (9M 2017) 1,602.1 1,531.8 Mix Single 555.0 Premium 525.5 529.5 517.6 18.5% 500.8 505.5 40
Slide 20: Life Business: Growth in ANP driven by Agency and Bancassurance channels
Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Growth in ANP driven by Agency and Bancassurance channels Annualised New Premiums (“ANP”) (RM’mil) ANP Channel Mix (%) +21.0% (9M 2017) 324.8 Corporate Alternative 4.6% Distribution/ 268.4 110.2 112.3 Bancassurance 4.3 20.5% 7.2 0.5 10
Slide 21: Life Business (Agency): Continue focus on profitable regular Investment-Linked products
Allianz Life Insurance Malaysia Berhad (104248-X) Life Business (Agency): Continue focus on profitable regular Investment-Linked products Agency Annualised New Premiums (RM’mil) +10.5% Agency Product Mix (%) (9M 2017) 243.4 By ANP Traditional 220.3 19.8% 81.3 83.0 By Policy Count 78.0 79.1 Tradition
Slide 22: Life Business: Protection Business (Investment-Linked) continues to grow
Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Protection Business (Investment-Linked) continues to grow Annualised New Premiums (RM’mil) Gross Written Premiums (RM’mil) +16.8% +18.0% 195.1 771.0 653.6 167.0 266.9 67.3 65.3 248.0 256.1 61.4 62.5 225.6 55.6 210.9 217.1 50.0 1Q 2Q 3Q
Slide 23: Life Business: Higher net investment results and fair value gains
Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Higher net investment results and fair value gains from Investment-Linked and Universal Life Fund Investment Results by Investment Results funds (RM’mil) (RM’mil) 28.8% 28.8% Portfolio Mix and Investment Yield (LF+SHF) 519.2 519.2 (%)
Slide 24: Life Business: Unaudited financial results at a glance
Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Unaudited financial results at a glance RM’mil 9M 2016 9M 2017 17/16 % Gross written premiums 1,531.8 1,602.1 4.6% Premiums ceded to reinsurers (112.7) (32.7) 71.0% Net earned premiums 1,419.1 1,569.4 10.6% Net change in benefits and
Slide 25: Thank You for Your Attention
Thank You for Your Attention Allianz @)
Slide 26: Disclaimer
Disclaimer These assessments are, as always, subject to the disclaimer provided below. Cautionary Note Regarding Forward-Looking Statements The statements contained herein may include statements of future levels, (vi) the extent of credit defaults, (vii) interest rate levels, (viii) currency expecta
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