Great Eastern Holdings Limited · SGX:G07
Great Eastern — Q2 2017 Earnings Presentation
12 slides from Great Eastern's earnings presentation, Jul 24, 2017
Slide 1: Financial Results for Q2-17 and 1H-17 Supplementary Information
GREAT EASTERN HOLDINGS LIMITED Financial Results for Q2-17 and 1H-17 Supplementary Information 24 July 2017 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 Q2-17 and 1H-17 Financial Results
Overview of Q2-17 and 1H-17 Financial Results S$’m Q2-17 Q2-16 ∆ 1H-17 1H-16 ∆ Total Weighted New Sales^ 255.7 242.1 +6% 536.5 460.2 +17% New Business Embedded Value^ 121.1 103.3 +17% 223.7 185.8 +20% Operating Profit (net of tax)^ from 157.4 131.6 +20% 278.9 248.8 +12% Insurance Business Non-Operat
Slide 3: Q2-17 Key Highlights
Q2-17 Key Highlights • Group’s TWNS for Q2-17 remained strong at S$255.7 million, underpinned by continuing growth in Singapore and Malaysia. • Led by the increase in sales, NBEV increased 17% to S$121.1 million for Q2-17. Q2-17 NBEV margin of 47.4%; improvement from same period last year (42.7%) an
Slide 4: Total Weighted New Sales (TWNS) – By Market
Total Weighted New Sales (TWNS) – By Market Higher Group’s TWNS of S$255.7 million for Q2-17 compared to same quarter last year: • Driven by growth from Singapore (both Agency and Bancassurance) and Malaysia Agency +17% +6% 536.5 460.2 9.3 6.7 157.2 342.7 TWNS – By 145.6 5.1 280.8 Market 242.1 264.5
Slide 5: Singapore TWNS – By Channel Mix
Singapore TWNS – By Channel Mix Higher TWNS in Singapore of S$167.1 million for Q2-17: • Contributed by stronger sales for agency and bancassurance. +20% +6% 370.0 10.9 307.9 10.8 Singapore 203.5 202.9 225.5 TWNS – By 176.6 179.6 167.1 150.8 157.1 3.0 6.4 Channel 3.4 Mix (S$ m) 5.0 4.5 5.8 106.9 101
Slide 6: Malaysia TWNS – By Channel Mix
Malaysia TWNS – By Channel Mix Higher TWNS in Malaysia of S$83.8 million (3% growth) for Q2-17: • Contributed by strong growth in Agency. +8% 3% 157.2 145.6 6.5 134.1 5.1 10.9 Malaysia 2.5 13.3 4.9 TWNS – By Channel 83.8 81.1 80.8 Mix (S$ m) 73.4 64.5 2.3 2.0 2.3 7.3 3.8 4.2 6.6 127.2 139.8 2.8 4.3
Slide 7: New Business Embedded Value (NBEV) - By Market
New Business Embedded Value (NBEV)- By Market Robust growth in NBEV for Q2-17. Improvement in overall NBEV margin for Q2-17 was the result of our company’s product management strategy to optimise the product mix. 48.9% 47.4% 42.7% 43.8% NBEV 40.4% 41.7% 37.8% 36.5% Margin (%) +20% +17% 223.7 2.9 185
Slide 8: Breakdown of Profit from Insurance Business
Breakdown of Profit from Insurance Business Profit from insurance business of S$230.8 million for Q2-17: • Higher operating profit in the Singapore Non-Participating insurance business. • Higher non-operating profit due to narrowing of credit spreads and gain from favorable interest rate movement. +
Slide 9: Operating Profit from Insurance Business – by Fund
Operating Profit from Insurance Business – by Fund Operating Profit from Insurance Business of S$157.4 million for Q2-17: • Higher profit as a result of the company repositioning its assets and liabilities in the Singapore Non-Participating insurance business. +12% +20% 278.9 248.8 7.4 6.4 70.5 Oper
Slide 10: Profit from Shareholders' Fund
Profit from Shareholders’ Fund Profit from Shareholders’ Fund of S$51.3 million for Q2-17 was higher than Q2-16: • Higher realised gain on sale of investments in Q2-17 (mainly from equities and collective investment schemes) as compared to same quarter last year. +755% +284% 105.9 42.0 54.6 21.6 6.0
Slide 11: Group Profit Attributable to Shareholders
Group Profit Attributable to Shareholders Profit attributable to shareholders was S$279.5 million for Q2-17: • Higher non-operating profit from insurance business due to favourable financial market conditions compared to last year. • Higher profit from shareholders’ fund due to higher realised gain
Slide 12: Thank You
THANK YOU 12
Great Eastern Holdings — Q2 2017 Earnings Presentation on 6ix