Great Eastern Holdings Limited · SGX:G07
Great Eastern — FY2016 Earnings Presentation
13 slides from Great Eastern's earnings presentation, Feb 10, 2017
Slide 1: Financial Results for Q4-16 and FY-16 Supplementary Information
GREAT EASTERN HOLDINGS LIMITED Financial Results for Q4-16 and FY-16 Supplementary Information 10 February 2017
Slide 2: Overview of Q4-16 and FY-16 Financial Results
Overview of Q4-16 and FY-16 Financial Results S$’m Q4-16 Q4-15 ∆ FY-16 FY-15 ∆ Total Weighted New Sales^ 343.5 304.4 +13% 1,069.9 968.2 +11% New Business Embedded Value* 145.5 111.6 +30% 466.2 382.5 +22% Operating Profit (net of tax)# from 112.5 169.0 -33% 504.2 581.4 -13% Insurance Business Non-Ope
Slide 3: FY-16 Key Highlights
FY-16 Key Highlights • Group’s TWNS was 11% higher at S$1,069.9 million for FY-16, underpinned by growth in Singapore and Malaysia. • Led by the increase in sales, NBEV increased 22% to S$466.2 million for FY-16. • Operating profit at S$504.2 million for FY-16 was 13% lower than last year, caused by
Slide 4: Total Weighted New Sales (TWNS) – By Market
Total Weighted New Sales (TWNS) – By Market Higher Group’s TWNS of $343.5 million for Q4-16 and $1,069.9 million for FY-16: • Driven by strong growth from both agency and bancassurance channels. TWNS – By Market (S$ m) Note: - For comparative reasons, TWNS figures for periods prior to Q4-16 have bee
Slide 5: Singapore TWNS – By Channel Mix
Singapore TWNS – By Channel Mix Higher Singapore TWNS of $203.5 million (12% growth) for Q4-16 and $691.0 million (11% growth) for FY-16: • Fuelled by strong growth in Agency sales in Q4-16. Singapore TWNS – By Channel Mix (S$ m) 4
Slide 6: Malaysia TWNS – By Channel Mix
Malaysia TWNS – By Channel Mix Higher TWNS in Malaysia of $134.8 million (22% growth) for Q4-16 and $362.4 million (18% growth) for FY-16: • Fuelled by strong growth in Agency sales in Q4-16. Malaysia TWNS – By Channel Mix (S$ m) Note: - For comparative reasons, TWNS figures prior to Q4-16 have been
Slide 7: New Business Embedded Value (NBEV) - By Market
New Business Embedded Value (NBEV)- By Market Higher NBEV of $145.5 million for Q4-16 and $466.2 million for FY-16; higher NBEV margin of 42.3% for Q4-16 and 43.6% for FY-16: • NBEV growth was contributed by the increase in sales and an improvement in NBEV margin. 50.7% 43.6% 41.2% 42.6% 39.3% 42.7%
Slide 8: Breakdown of Profit from Insurance Business
Breakdown of Profit from Insurance Business Profit from insurance business of $125.2 million for Q4-16 and $455.7 million for FY-16: • Lower operating profit (see next slide); and lower non-operating profit due to unfavorable interest rate movement. -22% 583.9 455.7 -43% 2.5 Breakdown of Profit from
Slide 9: Operating Profit from Insurance Business – by Fund
Operating Profit from Insurance Business – by Fund Operating Profit from Insurance Business of $112.5 million for Q4-16 and $504.2 million for FY-16: • Higher new business strain in support sales growth, medical claims in the Singapore operations and a one-off reversal of tax provisions in Q4-15. -1
Slide 10: Profit from Shareholders' Fund
Profit from Shareholders’ Fund Profit from Shareholders’ Fund of $72.0 million for Q4-16 was higher than Q4-15: • Higher realised gain on sale of investments in Q4- 16. • Gain on disposal of the investment in New China Life Insurance Company Limited of $$119.9 million in FY-15 and loss on disposal o
Slide 11: Group Profit Attributable to Shareholders
Group Profit Attributable to Shareholders Profit attributable to shareholders was $195.2 million for Q4-16 and $589.3 million for FY-16: • Lower operating profit compared to last year. • Lower non-operating profit from insurance business due to unfavourable financial market conditions compared to la
Slide 12: Embedded Value
Embedded Value • FY-16 embedded value of S$11.7b or an embedded value per share of S$24.71 was a 6% growth from FY-15. • Value of In-Force Business increased by 8% over FY-15. • 5 year Compound Annual Growth Rate of 9%. 11,694 11,001 Embedded 10,436 Value 9,214 (S$ m) 8,605 7,465 6,054 5,580 5,247 4
Slide 13: Thank You
Thank You 12
Great Eastern Holdings — FY2016 Earnings Presentation on 6ix