Qualitas Controladora S.A.B. de C.V. · BMV:Q
Qualitas Controladora S.A.B. de C.V — Q3 2014 Earnings Presentation
15 slides from Qualitas Controladora S.A.B. de C.V's earnings presentation, October 2014
Slide 1: Quálitas Controladora
Quálitas Controladora 1
Slide 2: Contents
Contents QC – Quálitas Controladora - Industry and changes in prices - Advertising Campaign - Written Premiums and Insured Vehicles - Acquisition Cost - Claims Cost - Operating Expenses - Financial Income - Profitability - Solvency Margin - Our Analysts 2
Slide 3: Industry and changes in prices
Industry and changes in prices • Sales of new vehicles : +4.5% YTD (sep) and 14.2% in 3Q • Financed Vehicles: +14.8% YTD (sep) • Mandatory Insurance for Federal Roads and Bridges started on September 23 Automobile Insurance Industry Jan- Jun 2014 Written Growth Premiums 6M14-6M13 Quálitas 8,479 13.4
Slide 4: Advertising Campaign
Advertising Campaign - The insurance you would get, if you want an insurance - • Launched September 29 • Campaign Impact (oct 21st): • 8 month campaign • 2,015 calls received • Media: • 141 policies sold • Open Local TV • 48% calls related to the TV commercial • Paid National and Local TV • Radio •
Slide 5: Figures and Results
Figures and Results For comparison purposes 2014, 2013 and 2012 figures are Quálitas Controladora’s and the figures from previous years are from Quálitas Aseguradora. Throughout the document, figures are expressed in million pesos, except when is otherwise specified. Variations expressed are regard
Slide 6: Written Premiums and Insured Vehicles
Written Premiums and Insured Vehicles Segment 3Q14 3Q13 Δ$ Δ% Individual 1,050 875 175 20.0% Fleets 945 835 109 13.1% Sum of Traditional 1,995 1,711 284 16.6% Financial Institutions 1,662 1,524 139 9.1% Subsidiaries 79 33 46 138.3% Other 101 - 2 103 NA Total 3,837 3,265 571 17.5% Period 3Q14 % 3Q13
Slide 7: Acquisition Ratio
Acquisition Ratio _ = Per Quarter 23.2% 22.6% 3Q10 3Q11 Secuential 25.0% 22.6% 24.3% 23.2% 225% Oe 3Q12 3Q13 3Q14 Annual 22.0% 23.5% 23.3% 21.0% 3Q13 4Q13 1Q14 2Q14 3Q14 2010 2011 2012 2013 sep-14
Slide 8: Claims Ratio
Claims Ratio ; Per Quarter 81.5% 3Q10 3Q11 3Q12 3Q13 3Q14 Secuential Annual 77.3% 71.4% 71.9% 67.8% 68.7% 64.6% 3Q13 4Q13 1Q14 2Q14 3Q14 2010 2011 2012 2013 sep-14 8
Slide 9: Claims Cost
Claims Cost • Severance Cost related to death 3Q14 3Q13 Δ% Number of Claims 149 108 38.0% Amount Paid $ 38,988 $ 25,193 54.8% Average Cost $ 261.7 $ 233.3 12.2% Figures in '000s pesos -The impact of this item represents 1 percentage point of the Claims Ratio- • Hurricane Odile in Baja California Sur
Slide 10: Operating Ratio
Operating Ratio a Per Quarter 6.3% 3Q10 3Q11 3Q12 3Q13 3Q14 Secuential Annual 4.7% 5.4% 6.2% 6.3% (1 2.17 3Q13 4Q13 1Q14 2Q14 3Q14 2010 2011 2012 2013 sep-14
Slide 11: Operating Expenses
Operating Expenses 3Q14 3Q13 Δ$ Δ% Administrative Expenses 213 157 56 35.6% Employee Profit Sharing 41 0 41 NA Discretionary 254 157 97 61.7% Banking Services 39 29 10 35.6% Representatives 97 137 -39 -28.8% Policies' Fees (revenue) -191 -165 -27 16.2% Other Income -43 -36 -7 20.8% Non-Discretionary
Slide 12: Financial Income
Financial Income Portfolio by Type of Risk Portfolio by Type of Issuer Return on Investments 3Q14 2014 Gain on Equities 168 409 Quarterly Average Portfolio 2,287 2,183 Annualized Yield 28.7% 24.7% Naftrac Yield 20.5% 7.0% IRT Yield 21.6% 7.9% * 12 * QC’s figures since 2012
Slide 13: Profitability
Profitability 3Q14 3Q13 Δ %/bp Return on Investments 9.2% 4.8% 433.8 Combined Ratio 101.4% 95.8% 560.2 Leverage 4.25x 3.95x 7.7% 13
Slide 14: Solvency Margin
Solvency Margin QC’s solvency margin registered $1,259, which results in a solvency margin ratio of 43.0%. Minimum Equity Solvency Solvency Margin Requirement Margin Ratio Qmx 2,629 969 36.9% Qsv 35 15 43.2% Qcr 65 0.4 0.6% QUIC 201 13 6.6% Total 2,930 998 QC Cash 261 QC 2,930 1,259 43.0% Dividend P
Slide 15: Our Analysts
Our Analysts Institution Analyst E-mail 414 Capital Francisco Sánchez Ávalos fsa@414capital.com (Independent Ana l ys t) Actinver Martín Lara mlara@actinver.com.mx BBVA Research Ernesto Gabilondo ernesto.gabilondo@bbva.bancomer.com Grupo Bursátil Mexicano José Juan Carreño Jcarre_o@gbm.com.mx Intera
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