Grupo de Inversiones Suramericana S.A. · BVC:GRUPOSURA
Grupo de Inversiones Suramericana — Grupo SURA — Investor Presentation (March 2024)
26 slides from Grupo de Inversiones Suramericana's investor presentation, March 2024
Slide 1: Corporate Presentation Grupo SURA March 2024
Corporate Presentation Grupo SURA March 2024
Slide 2: Disclaimer
This document may contain forward-looking statements related to Grupo SURA and its subsidiaries, which have been made under assumptions and estimates of the management of the Companies and may present variations. For a better illustration and decision making, the figures are administrative and not a
Slide 3: Grupo SURA
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Slide 4: Evolution of ownership structure and focus on financial services
Preserving the way we do business and value creation 1990 / 2007 2017 / 2023 1944 / 1990 2007 / 2016 FOOTPRINT OPTIMIZATION Organic growth: ~ USD 4.0 bn (New revenues 2017 – 2023) LEADERSHIP IN INSURANCE FINANCIAL SERVICES INTERNATIONAL EXPANSION • Increased profitability in Colombia Leader in Colom
Slide 5: Grupo SURA consolidated figures and positions
Showing positive evolution since 2014 and opportunities for future growth. Grupo SURA CAGR2 Consolidated figures #3 INSURANCE GROUP OF LATAM ORIGIN Premiums1 Life, P&C and Health USD 7 Bn +18% Revenues1 81.1% 8.2 Bn AUM1 #1 PENSION FUND IN LATAM CAGR +13%2 with voluntary savings business USD 176 Bn
Slide 6: Strategy
Strategy INVESTMENT Who we are? Grupo SURA MANAGER We are an investment manager SUSTAINABLE What do we want? PROFITABILITY Sustainable profitability Generación Harmonious development de valor of society Harmonious capital management Economic Natural Human Social How do we differentiate? OWN APPLIED
Slide 7: Financial services footprint
Financial services footprint SURA AM Investment Manager with the strategic objective of obtaining Sustainable Returns COUNTRIES1 CLIENTS1 EMPLOYEES1 10 + 73 MM + 64K DIVIDEND SHARE BY SHARE OF DIVIDENDS COMPANY LAST 10 YEARS BY COUNTRY 2023 Grupo Argos USA Others 8% Sura AM 4% 9% Panama Nutresa 34%
Slide 8: Key financial figures have increased significantly over the long term
Key financial figures have increased significantly over the long term Equity Net income 51 times CAGR +19% 2000 2010 20231 8.0 -$10 MM $159 MM $536 MM 4.7 6.0 0.2 2.3 2000 2005 2010 2015 2023 Book value per share Net income per share 2000 2010 2023 2010 2000 20231 $0.51 / share $8.83 / share $12.66
Slide 9: Leveraged by improved investment portfolio performance
Leveraged by improved investment portfolio performance 1,200 12.0% 9.9% 10.2% 9.1% 1,000 10.0% 9.7% 7.9% 800 8.0% 600 536 6.0% 180 400 4.0% 2.0% 480 353 356 200 2.0% 326 274 - 52 0.0% 2018 2019 2020 2021 2022 2023 Adjustments Adjusted Controlling Net Income Adjusted ROE Figures in USD millions *ROE
Slide 10: Dividends received by Grupo SURA
Accompanied by portfolio diversification and increased contribution from financial services companies Received dividends by Grupo SURA USD millions 2011 - 2023 6.6x 418 CAGR 17% 11% 7% 260 239 243 25% 220 13% 206 9% 10% 181 8% 190 8% 8% 8% 12% 7% 10% 8% 11% 155 25% 9% 29% 139 8% 9% 44% 17% 108 11% 5
Slide 11: Dividends declared by Grupo SURA
Dividend per share has grown by an average of 13% per year during this period, and always above the previous year's inflation. Dividends declared by Grupo SURA USD millions 2011 - 2023 5.5x CAGR 15% 171 $ 60 0 105 85 81 70 74 61 59 61 65 57 56 31 $0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 12: Dividend per share compound annual growth since 2015
Dividend per share has had a compound annual growth rate of 14% since 2015 Dividends per share (common and preferred share) 2015 – 2024E 3.3x CAGR 14% 0.32 0.30 0.18 0.13 0.13 0.14 0.11 0.11 0.12 0.10 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024E Source: Grupo SURA. Figures USD 12 12
Slide 13: Flexibility in managing debt given cash flow
Flexibility in managing debt given cash flow DEBT PROFILE Individual net debt* Indicators ** (USD 1,465 mm) Average cost of debt ✓ Local Rating AAA (Fitch) 530 ✓ International Rating BB+ (Fitch – S&P) 14.1% 412 133 Fix rate exposure 106 116 71 67 78 61 18 24 26 ~32% 2024 2025 2026 2027 2028 2029 203
Slide 14: Low penetration in financial services; growth in the region
Low penetration in • Banking: 39% in 2011 - 74% in 2021 (Global 76%) 1 financial services • Insurance: 2.5% in 2011 - 3.0% GDP en 2021 (Global 7.0%) 2 • Pension savings: 26.8% GDP in 2022 in Latam (OECD 81.3%)3 Growth in • Demographic bonus: Economically Active Population in Latam growths 2x 1 vs Gl
Slide 15: Strength and expertise; sustainable profitability
Strength and • Deep knowledge of the region, leading brands in Latam and recognized strategic partners expertise • Human talent and corporate culture as strategic pillars Sustainable profitability Economic value and harmonious development Diverisified By region, channels, customers and mandatory/ vo
Slide 16: Annexes
Annexes Annexes
Slide 17: Suramericana: market leader in insurance
SURA AM Market leader in insurance industry, trends and risk management Multichannel, Multi-segment, Multi-región Leadership positions in different countries COUNTRIES CLIENTS EMPLOYEES #3 Insurance Group in Latam 7 + 21MM + 20K Diversified business model WRITTEN PREMIUMS WRITTEN PREMIUMS BY SEGMENT
Slide 18: Suramericana: results with double-digit premium growth
Results with double-digit growth in premiums WRITTEN PREMIUMS EQUITY CONTROLLING NET INCOME* CAGR: 18% CAGR: 11% CAGR: 6% 6,599 1,532 146 614 88 1,505 2014 2023 2014 2023 2014 2023 Figures in USD millions * Adjusted for the sale of the operations in Argentina and El Salvador Adjusted ROE LTM Adjuste
Slide 19: Suramericana adjusted ROE and ROTE
18.4% 17.0% 13.3% 11.9% 13.5% 11.7% 13.1% 9.3% 10.5% 9.2% 6.3% 2.7% 5.1% 2.1% 2017 2018 2019 2020 2021 2022 2023 Ajusted ROE Adjusted ROTE * The values as of December 2023, are adjusting for the operations in Argentina and El Salvador 19
Slide 20: SURA AM: Latin American asset manager
SURA AM Leading Latin American asset manager in pension fund administration, asset management and investment advisory services. Leadership in the región COUNTRIES1 CLIENTS EMPLOYEES 21% of market share 7 + 23MM 525 institutional + 6K Voluntary Savings AUM BY SEGMENT EBITDA BY COUNTRY 15% of commissi
Slide 21: SURA AM: stable business dynamics over time
Reflecting stable business dynamics over time COMISSION INCOME CONTROLLING NET INCOME EQUITY CAGR: 13% CAGR: 9% CAGR: 4% 939 3,100 2,131 209 305 93 2014 2023 2014 2023 2014 2023 * Figures in USD millions, AUM in USD billions Adjusted ROE LTM Adjusted ROTE LTM 8.8% vs 5.1% 4Q22 27.8% vs 15.9% 4Q22 21
Slide 22: SURA AM adjusted ROE and ROTE
32.8% 30.3% 27.8% 23.1% 21.7% 19.5% 15.9% 8.7% 8.8% 7.4% 7.3% 6.4% 5.6% 5.1% 2017 2018 2019 2020 2021 2022 2023 ROE Ajustado ROTE Ajustado 22
Slide 23: Bancolombia: leading financial group in Colombia
Leading financial group in Colombia with presence in Central America Leadership COUNTRIES CLIENTS EMPLOYEES 52% of participation in monetary transactions in Colombia Loans Market Share and position : 4 + 29MM + 33K Colombia: 27% - #1 El Salvador: 25% - #1 Panama: 10% - #2 Guatemala : 10% - #4 LOAN P
Slide 24: Bancolombia: business growth, expansion and consolidation
Accompanied by business growth, expansion and consolidation ASSETS EQUITY CONTROLLING NET INCOME CAGR: 10% CAGR: 10% CAGR: 11% 89,724 9,966 1,414 39,149 4,414 552 2014 2023 2014 2023 2014 2023 * Figures in USD millions ROE ROTE ROA 16.1% vs 19.8% 4Q22 21.0% vs 26.2% 4Q22 1.8% vs 2.2% 4Q22 *Cifras en
Slide 25: Infrastructure holdings: strategic focus on infrastructure
SURA AM Asset manager with strategic focus on infrastructure COUNTRIES EMPLOYEES ASSETS 20 + 11K + 13Bn REVENUE SHARE REVENUE SHARE BY COMPANY 2 BY COUNTRY 2 Pactia Others 1% 9% Others Odinsa 14% 10% Argos EEUU Colombia Celsia 55% 31% 55% 25% REVENUES1 EBITDA1 MARKET CAP1 5.2 Bn 1.3 Bn 2.6 Bn 1 Figu
Slide 26: Infrastructure holdings: structured business plan
Accompanied by a structured business plan REVENUES EBITDA CONTROLLING NET INCOME CAGR: 11% CAGR: 11% CAGR: 7% 5,224 1,272 212 2,115 514 120 2014 2023 2014 2023 2014 2023 * Figures in USD millions Net Debt / EBITDA AUM 2.7x Dec 2023 USD 12.9 BN Dec 2023 26