Slide 1: Q2-2025 Quarterly Report
Q2-2025 QUARTERLY REPORT August 1, 2025
Slide 2: Advisory Regarding Forward-Looking Information
2 ADVISORY REGARDING FORWARD-LOOKING INFORMATION • This presentation contains forward-looking information. • Forward-looking information is information regarding possible events, conditions or financial performance that is based on assumptions about future economic conditions and courses of action,
Slide 3: Supplementary Financial Measures and Non-GAAP Financial Measures and Ratios
3 SUPPLEMENTARY FINANCIAL MEASURES AND NON-GAAP FINANCIAL MEASURES AND RATIOS The Company’s unaudited condensed interim consolidated financial statements and accompanying notes as at and for the quarter ended June 30, 2025 have been prepared in accordance with International Financial Reporting Stand
Slide 4: Rowan Saunders, President & Chief Executive Officer
ROWAN SAUNDERS President & Chief Executive Officer
Slide 5: Operating ROE Upside
5 OPERATING ROE UPSIDE Our actions are on track to deliver the full organic benefit by the end of 2027, with an objective of sustainable mid-teens OROE post Travelers Canada integration Remaining OROE Benefit Profitability actions and the Alberta Auto exit have delivered benefits to date, with furth
Slide 6: Q2-2025 Financial Highlights
6 Q2-2025 FINANCIAL HIGHLIGHTS Operating EPS(1) Gross Written Premiums(1) Combined Ratio(1) $0.84 $1.34B 92.9% 9.1% y/y (adjusted for exited lines) Book Value per Share(1) Financial Capacity(1,2) Operating ROE (TTM)(1) $31.39 ~$2.7B 9.6% 19.9% y/y 1. This is a supplementary financial measure, non-GA
Slide 7: 12-Month Industry Outlook
7 12-MONTH INDUSTRY OUTLOOK Personal Auto Personal Property Commercial Insurance We expect conditions in auto We expect market conditions in While we expect overall market lines to remain firm as insurers personal property to remain conditions to remain attractive, aim to keep pace with the firm ove
Slide 8: Key Financial Metrics
8 KEY FINANCIAL METRICS GWP(1) Growth Combined Ratio(1) Operating ROE(1) YTD-2025 YTD-2025 Q2-2025 TTM 9.3% (Adjusted for exited lines) 93.7% 9.6% TARGET(2) TARGET(2) TARGET(2) Grow GWP at a rate of Achieve a sub-95% full Generate a full year operating ROE upper single digit to 10% year combined rat
Slide 9: Our Leading Broker Platform
9 OUR LEADING BROKER PLATFORM Our national broker platform provides ongoing opportunities to scale and grow the earnings profile of the business Acquired Top 10 Broker with Year Activity Year-End GWP(1,2) ~$1.3B GWP(2) 2026 Target 2022 1 acquisition ~$500M 2023 6 acquisitions ~$400M ~$300M GWP 12+ ~
Slide 10: Philip Mather, Executive Vice-President & Chief Financial Officer
PHILIP MATHER Executive Vice-President & Chief Financial Officer
Slide 11: Q2-2025 Personal Auto
11 Q2-2025 PERSONAL AUTO ($ in millions, except as otherwise noted) Q2-25 Q2-24 Δ YTD-25 YTD-24 Δ Gross Written Premiums(1) (TTM) ($ in millions) Gross Written Premiums(1) $564.4 $528.4 6.8% $1,003.2 $941.9 6.5% $1,893 $1,929 Adjusted for exit of Sonnet Alberta Auto 9.6% $1,845 $1,867 $1,799 $1,713
Slide 12: Q2-2025 Personal Property
12 Q2-2025 PERSONAL PROPERTY ($ in millions, except as otherwise noted) Q2-25 Q2-24 Δ YTD-25 YTD-24 Δ Gross Written Premiums(1) (TTM) ($ in millions) $1,225 Gross Written Premiums(1) $346.0 $323.1 7.1% 601.0 559.6 7.4% $1,184 $1,202 $1,167 $1,146 $1,124 Net Underwriting Revenue(1) $292.7 $266.7 9.7%
Slide 13: Q2-2025 Commercial Insurance
13 Q2-2025 COMMERCIAL INSURANCE ($ in millions, except as otherwise noted) Q2-25 Q2-24 Δ YTD-25 YTD-24 Δ Gross Written Premiums(1) (TTM) ($ in millions) $1,466 Gross Written Premiums(1) $427.0 $388.2 10.0% $763.3 $693.8 10.0% $1,397 $1,427 $1,360 $1,324 $1,277 $1,235 Net Underwriting Revenue(1) $299
Slide 14: Q2-2025 Consolidated Performance
14 Q2-2025 CONSOLIDATED PERFORMANCE ($ in millions, except as otherwise noted) Q2-25 Q2-24 Δ YTD-25 YTD-24 Δ Gross Written Premiums(1) (TTM) ($ in millions) Gross Written Premiums(1) $1,337.4 $1,239.7 7.9% $2,367.5 $2,195.3 7.8% $4,620 $4,523 Adjusted for exit of Sonnet Alberta Auto 9.1% $4,372 $4,4
Slide 15: Q2-2025 Consolidated Profitability
15 Q2-2025 CONSOLIDATED PROFITABILITY ($ in millions, except as otherwise noted) Q2-25 Q2-24 Δ YTD-25 YTD-24 Δ Operating Income (1) ($ in millions) Underwriting Income(1,2) $74.6 $93.7 ($19.1) $129.6 $148.5 ($18.9) $146.2 $147.0 $17.2 $11.4 $130.9 Net Investment Income(3) $50.7 $49.9 $0.8 $100.5 $98
Slide 16: Q2-2025 Balance Sheet Strength
16 Q2-2025 BALANCE SHEET STRENGTH ($ in millions, except as otherwise noted) Mar 31-25 Jun 30-25 Consolidated Book Value q/q Δ Total assets $7,780 $8,304 ($ in millions) Investments $5,448 $5,579 $375 Total liabilities $4,197 $4,305 ($32) Insurance contract liabilities $3,585 $3,654 Equity attributa
Slide 17: Q2-2025 Capital Management
17 Q2-2025 CAPITAL MANAGEMENT Capital Management Actions Financial Capacity q/q Δ ($ in millions) • The announcement of the Travelers Transaction for $3.3B is expected to $165 optimize our balance sheet via strategic deployment of excess capital and $381 utilization of significant financial leverage
Slide 18: Travelers Canada Acquisition Update
18 TRAVELERS CANADA ACQUISITION UPDATE STRONG STRATEGIC FIT COMPELLING FINANCIAL RATIONALE ✓ Establishes Definity as the #4 P&C insurer in Canada1 and strengthens our ✓ Value creation through scale benefits and platform efficiencies with estimated run- leadership position in the broker channel rate
Slide 19: Questions?
_ & QUESTIONS? definity.
Slide 20: Further Advisory Regarding Forward-Looking Information
20 FURTHER ADVISORY REGARDING FORWARD-LOOKING INFORMATION Forward-looking information in this presentation is necessarily based on a number of opinions, estimates and assumptions that we considered appropriate and reasonable as at the date such statements are made, and are subject to many factors th
Slide 21: Contact Us
21 CONTACT US Investor Relations Corporate Communications Sarah Attwells General Investor Inquiries AVP, Corporate Communication 1-866-902-4724 (TF) 226-753-1130 IR@definity.com sarah.attwells@definity.com General Inquiries Dennis Westfall Definity Financial Corporation VP, Investor Relations 111 We
Slide 22: definity.
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