18 slides from Munchener Ruckversicherungs-gesellschaft's earnings presentation, May 8, 2018
Slide 1: Quarterly statement as at 31 March 2018
http://www.presentationworks.de Image: Getty Images/Oaltindag Quarterly statement as at 31 March 2018 8 May 2018 Jörg Schneider
Slide 2: Agenda
Agenda 2 11 1 Munich Re (Group) 3 Reinsurance 7 16 2 ERGO 4 Outlook Quarterly statement as at 31 March 2018 2
Slide 3: Munich Re (Group) – Financial highlights Q1 2018
Munich Re (Group) – Financial highlights Q1 2018 Strong start to the year – Well on track to achieve annual targets Munich Re (Group) Q1 2018 (Q1 2017) Net result Technical result €m Investment result €m Net result €m €827m (€557m) 2,151 1,020 Good operating performance, 1,796 827 in particular exce
Slide 4: Munich Re (Group) – Capitalisation
Munich Re (Group) – Capitalisation IFRS capital position Equity €m Capitalisation €bn Equity 31.12.2017 28,198 0.4 0.4 0.4 Consolidated result 827 4.4 4.2 0.3 Changes 4.4 0.3 2.8 2.8 Dividend 0 Unrealised gains/losses –1,171 Exchange rates –313 Share buy-backs –311 Other –39 Equity 31.3.2018 27,191
Slide 5: Munich Re (Group) – Investment portfolio
Munich Re (Group) – Investment portfolio Investment portfolio Investment portfolio1 % Portfolio management in Q1 Land and buildings Fixed-interest securities Reduction of US inflation-linked bonds 3.6 (3.4) 54.2 (54.9) Slight increase of corporate bonds and credit exposure Miscellaneous2 Furth
Slide 6: Munich Re (Group) – Investment result
Munich Re (Group) – Investment result Investment result Investment result (€m) Q1 2018 Return1 Q1 2017 Return1 Regular income 1,493 2.6% 1,634 2.7% Write-ups/write-downs –115 –0.2% –26 –0.0% Disposal gains/losses 584 1.0% 1,048 1.8% Derivatives2 –17 –0.0% –362 –0.6% Other income/expenses –149 –0.3%
Slide 7: ERGO
ERGO Quarterly statement as at 31 March 2018 7
Slide 8: ERGO Q1 2018 vs. Q1 2017
ERGO ERGO Q1 2018 vs. Q1 2017 Gross premiums written €m Major result drivers €m Q1 2017 4,879 Q1 2018 Q1 2017 Technical result 132 130 1 Foreign exchange –6 Non-technical result 93 139 –46 Divestments/investments 0 thereof investment result 1,184 1,459 –275 Organic change 70 Other –147 –178 31 Q1
Slide 9: ERGO Property-casualty Germany
ERGO ERGO Property-casualty Germany Combined ratio % Gross premiums written €m Loss ratio Expense ratio Other Motor 2016 97.0 61.9 35.1 124 (115) 358 (345) 2017 97.5 64.1 33.5 Q1 2018 101.7 65.9 35.9 Legal protection TOTAL Liability 122 (119) €1,266m 260 (258) 101.7 100.0 100.3 99.1 98.1 96.1 93
Slide 10: ERGO International – Property-casualty
ERGO ERGO International – Property-casualty1 Combined ratio1 % Gross premiums written €m Loss ratio Expense ratio Other Poland 106 (138) 350 (279) 2016 98.0 64.9 33.1 Turkey TOTAL Spain 2017 95.3 63.7 31.6 46 (51) €991m 234 (232) Greece Legal protection Q1 2018 95.3 65.1 30.2 72 (74) 183 (175) C
Slide 11: Reinsurance
Reinsurance Quarterly statement as at 31 March 2018 11
Slide 12: Reinsurance Life and Health
Reinsurance Reinsurance Life and Health Q1 2018 vs. Q1 2017 Gross premiums written €m Major result drivers €m Q1 2017 3,488 Q1 2018 Q1 2017 Technical result 140 145 –5 Foreign exchange –279 Non-technical result 82 48 34 Divestments/investments 0 thereof investment result 207 221 –14 Organic change
Slide 13: Reinsurance Property-casualty
Reinsurance Reinsurance Property-casualty Q1 2018 vs. Q1 2017 Gross premiums written €m Major result drivers €m Q1 2017 4,558 Q1 2018 Q1 2017 Technical result 749 387 361 Foreign exchange –521 Non-technical result 89 104 –15 Divestments/investments 0 thereof investment result 404 470 –66 Organic c
Slide 14: Reinsurance – Combined ratio
Reinsurance Combined ratio Combined ratio % Basic losses Major losses Expense ratio 2016 95.7 54.2 9.1 32.4 160.9 2017 114.1 54.8 25.8 33.5 Q1 2018 88.6 53.2 1.4 34.0 101.9 Major Reserve Normalised losses Nat cat Man-made releases1 combined ratio2 103.9 99.8 97.1 93.9 92.5 Q1 2018 1.4 –1.1 2.6
Slide 15: Reinsurance – April renewals 2018
Reinsurance – April renewals 2018 Trend from January renewals continued – rate increases in loss-affected business, remaining portfolio rather flat April renewals 2018 % 100 –12.9 87.1 0.4 20.7 108.1 Price increase of 0.8% (~1.8% including interest-rate €m 1,440 –186 1,254 6 298 1,557 effects) in
Slide 16: Outlook
Outlook Quarterly statement as at 31 March 2018 16
Slide 17: Outlook 2018
Outlook 2018 GROUP REINSURANCE ERGO Gross premiums written Gross premiums written Gross premiums written €46–49bn €29–31bn €17–18bn Net result Net result Net result €2.1–2.5bn €1.8–2.2bn €250–300m Return P-C L/H technical result P-C combined ratio on investment combined ratio1 incl. fee income Germa
Slide 18: Disclaimer
Disclaimer This presentation contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the a