Grupo De Inversiones Suramericana S.a. · BVC:GRUPOSURA
Grupo De Inversiones Suramericana — Q4 2016 Earnings Presentation
39 slides from Grupo De Inversiones Suramericana's earnings presentation, 2017
Slide 1: Corporate Presentation 4Q 2016
Corporate Presentation 4Q 2016 1
Slide 2: Disclaimer
DISCLAIMER the forward-looking statements contained herein are based on Management’s current forecasts and outlook. For better illustration and decision-making, figures for Suramericana, SURA Asset Management and its subsidiaries are administrative rather than accountant, and therefore may differ fr
Slide 3: Agenda
AGENDA GRUPO SURA STRATEGY GRUPO SURA CONSOLIDATED RESULTS SURA ASEGURAMIENTO, TENDENCIAS Y RIESGOS SURAMERICANA S.A INSURANCE AND SOCIAL SECURITY SURA ASSET MANAGEMENT PENSIONS, SAVINGS AND ASSET MANAGEMET BANCOLOMBIA, GRUPO ARGOS AND GRUPO NUTRESA 3
Slide 4: Grupo SURA Main Figures
GRUPO SURA MAIN FIGURES INTERNATIONAL 3 AS OF DECEMBER 2016 INVESTMENT GRADE MARKET CAP ~ 44.5 Fitch BBB S&P BBB MILLION CLIENTS Local Rating: CONSOLIDATED Fitch AAA REVENUES USD 7.3 BILLION USD 6.3 BILLION + 36.2% vs. 2015 USD ~181 BILLION Colombian company with the longest bond maturity 40 years A
Slide 5: Grupo SURA Strategy
GRUPO SURA STRATEGY Lima 5
Slide 6: Focus on Strategic Sectors
FOCUS ON STRATEGIC SECTORS FINANCIAL INVESTMENTS INDUSTRIAL INVESTMENTS 81.1% 78.7% 46.4% 35.2% 35.7% PROCESSED CEMENT, ENERGY FOOD INFRASTRUCTURE INSURANCE AND PENSIONS, UNIVERSAL BANKING SOCIAL SECURITY AND REAL ESTATE SAVINGS AND INVESTMENT OTHER INVESTMENTS *Stake in common shares As of December
Slide 7: Strategic Business Expansion
MÉXICO REPÚBLICA DOMINICANA GUATEMALA EL SALVADOR PANAMÁ STRATEGIC BUSINESS EXPANSION COLOMBIA New presence including the RSA acquisition BRASIL PERÚ STRATEGIC INVESTMENTS CHILE URUGUAY 44.5 MILLION CLIENTS1 ARGENTINA 1 Does not take into account the elimination of shared clients 7
Slide 8: Strategy
STRATEGY COMPREHENSIVE RANGE OF SERVICES GEOGRAPHIC EXPANSION AND MARKET AND SYNERGIES DEVELOPMENT • Organic and inorganic growth based on our regional • New customer-focused goals presence in both the current and target markets. Development of our • Strengthening our group dynamics and • Extending
Slide 9: Investment Portfolio
INVESTMENT PORTFOLIO Grupo Argos Otros Bancolombia 18.2% 0.5% 24.5% 8.1 USD Grupo Nutresa BILLION* 16.5% DECEMBER 2016 Sura Asset Suramericana Management 13.4% 26.8% Including the commercial value pursuant to accountant standards and the stakes held in GRUPO SURA and Affiliates. 9 Considering Surame
Slide 10: Dividends
DIVIDENDS Grupo Argos Other 7.7% Other 0.2% Uruguay 6.5% Grupo Nutresa 0.8% 7.9% Peru 11.4% USD Bancolombia 22.2% BY COMPANY 334 MILLION Mexico 13.9% BY COUNTRY Colombia SURA Asset 40.4% Management Chile 25.8% Suramericana 53.3% 10.0% 400 334.3 350 DIVIDEND EVOLUTION 270.6 300 250 200.0 182.7 200 14
Slide 11: Cash Flow Generation
CASH FLOW GENERATION Grupo SURA generates close to USD 200 million for debt and dividend payment, and for investments 2016 (E) (1) 48 86 344 296 210 210 Dividends and Operating Operating Interest Cash Other Income Expenses Cash Flow Available Figures in USD million (1) FX = COP 3,000.71 per USD
Slide 12: Shareholders
SHAREHOLDERS 11.0% 10.4% Grupo Argos and 4.6% subsidiaries 3.8% 27.4% Grupo Nutresa 33.7% Colombian Pension (COMM) (COMM+PREF) Funds 21.0% 21.8% International Funds 10.3% Retail Investors 12.7% Local Institutional 18.5% 24.8% Investors TREND IN INTERNATIONAL INVESTORS Outstanding Ord. Shares: 469,03
Slide 13: Corporate Governance and Sustainability
CORPORATE GOVERNANCE AND SUSTAINABILITY HIGH CORPORATE STANDARDS Code of Good Governance in accordance with international practices. The Board of Directors has 7 members of which 4 are independent. The chairman and vice-chairman are independent. Main committees that oversee the corporate governance
Slide 14: Corporate Responsibility
CORPORATE RESPONSIBILITY SOCIAL DEVELOPMENT active role in a wide range of social development programs either in the form of institutional donations or the volunteer work of Grupo SURA’s employee. BUSINESS MANAGEMENT Practices used to obtain our corporate goals. A COMPREHENSIVE VIEW OF OUR CORPORATE
Slide 15: Business Model Focused on Clients
BUSINESS MODEL FOCUSED ON CLIENTS Comprehensive service offer designed to satisfy the VOLUNTARY SAVINGS different needs through the life cycle. Strategies and synergies to strengthen the retention of our clients VALUE OFFER Life Cycle $ Equity Universal Banking MANDATORY UNIVERSAL PENSIONS 44 MILLIO
Slide 16: Demographic Fundamentals
DEMOGRAPHIC FUNDAMENTALS YOUNG AND GROWING POPULATION 364 MM de 559 MM Age 2010 people over 20 2050 people over 20 100+ 90 – 94 7% 19% Annuities 80 – 84 70 – 74 INTERESTING DEMOGRAPHIC 60 – 64 EVOLUTION IN LATAM accumulation 50 – 54 51% Savings and 47% period 40 – 44 30 – 34 20 – 24 10 – 14 0–4 - 12
Slide 17: Financial Services Penetration
FINANCIAL SERVICES PENETRATION 84.5% PENSION PENETRATION (% GDP) 188.8% BANKING PENETRATION (% GDP) 79.7% 69.6% 97.9% 83.0% 86.6% 33.4% 15.4% 20.3% 21.7% 24.2% 20.4% 47.1% 45.6% 32.4% 42.3% 27.9% 29.8% 49.3% 11.10% 1.3% Perú PP OECD* Peru Panama Panamá El Salvador Mexico Uruguay México Uruguay Chile
Slide 18: Grupo SURA Consolidated Results 4Q
GRUPO SURA CONSOLIDATED RESULTS 4Q Panama 18
Slide 19: Statement of Financial Position Consolidated
STATEMENT OF FINANCIAL POSITION CONSOLIDATED 22,600 18,507 ASSETS SHAREHOLDER’S EQUITY 14,137 LIABILITIES 9,821 8,685 8,463 2015 2015 2016 2016 ASSETS dec-16 Var. $MM % Change Growth Inc-RSA Cash and cash equivalents 689 211 44.2% dec-15 18,507 + 4,094 Investments 8,731 1,491 20.6% 22.1% Accounts re
Slide 20: Statement of Financial Position Consolidated
STATEMENT OF FINANCIAL POSITION CONSOLIDATED LIABILITIES TOTAL SHAREHOLDER’S EQUITY Growth Inc-RSA dec-15 9,821 dec-15 8,685 + 4,316 43.9% -222 Growth Ex-RSA -2.6% + 2,375 dec-16 dec-16 14,137 8,463 24.2% 0.0 5,000 .0 10 , 00 0.0 15 , 00 0.0 20 , 00 0.0 25 , 00 0.0 0.0 2,000 .0 4,000 .0 6,000 .0 8,0
Slide 21: Statement of Comprehensive Income Consolidated
STATEMENT OF COMPREHENSIVE INCOME CONSOLIDATED Growth Inc-RSA dec-16 Var. $ % Var % / Revenues Retained premiums (net) 3,610 1,100 43.8% 57.1% dec-15 4,643 + 1,680 Commission income 728 77 11.9% 11.5% 36.2% Revenues on services rendered 773 122 18.7% 12.2% TOTAL Growth Ex-RSA Investment income 704 2
Slide 22: Debt Grupo SURA
DEBT GRUPO SURA Repos 0.0% USD COP Banks 36.8% 63.2% 27.2% • Financial Debt1: USD 1.5 Bn TYPE OF CURRENCY DEBT EXPOSURE* • Cash2: USD 152 million Bonds • Net Debt/Dividends3: 4.1x 72.8% DEBT MATURITY PROFILE 550 Banks International Bonds 300 Local Bonds 219 195 53 74 33 33 33 32 - - - - 2017 2018 20
Slide 23: Suramericana S.A Consolidated Results 4Q
SURA ASEGURAMIENTO, TENDENCIAS Y RIESGOS SURAMERICANA S.A CONSOLIDATED RESULTS 4Q Bogotá 23
Slide 24: Suramericana S.A
MEXICO 1 2.3 % DOMINICAN REPUBLIC (Ranking 5) 1.4M 8.6% 0.1M EL SALVADOR (Ranking 2) PANAMA (Ranking 4) 19.3 % 0.6M 9.1% 0.2M SURAMERICANA S.A COLOMBIA (Ranking 1) Market Share 24.3% 11M Clients BRASIL PREMIUM BREAKDOWN BY COUNTRY Salvador 1M Panama 2.2% Uruguay 2.8% 1.9% Dom. Rep. Brazil 1.7% 4.0%
Slide 25: Suramericana Consolidated Figures
SURA ASEGURAMIENTO, TENDENCIAS Y RIESGOS SURAMERICANA S.A CONSOLIDATED FIGURES Growth Inc-RSA + 1,371 dec-16 Var. $ % Var % / Revenues dec-15 2,555.7 53.7% Retained premiums (net) 2,662 995 59.7% 67.8% Revenues on services rendered 713 120 20.2% 18.1% TOTAL Growth Ex-RSA Investment income 368 167 82
Slide 26: Segments Premiums and Claims Ratio
SEGMENTS PREMIUMS AND CLAIMS RATIO LIFE HEALTH CARE Other RSA 4.5% Premiums Retained Claims Ratio 1.2% Life Services rendered Claims Ratio dec-16 %Var dec-16 dec-15 18.0% dec-16 %Var dec-16 dec-15 Life 240 9.9% 25.7% 22.3% ARL (worker EPS 656 21.3% 92.8% 93.8% comp.) Group Life 194 4.6% 35.3% 27.7%
Slide 27: SURA Asset Management Consolidated Results 4Q
SURA ASSET MANAGEMENT CONSOLIDATED RESULTS 4Q Santiago de Chile 27
Slide 28: SURA Asset Management
MEXICO (Ranking 3) 23.7Bn 14.9% USD 7.3M 3,025 SURA ASSET MANAGEMENT Nº1 in Pensions in Latinamerica EL SALVADOR (Ranking 2) COLOMBIA (Ranking 2) USD 4.4Bn 47.1% 1.5M 302 USD 26.2Bn 36.6% 5.6M 1,872 AUM Market Share PERÚ (Ranking 1) Clients USD 18.4Bn 40.0% 2.1M 1,280 Employees CHILE (Ranking 4) USD
Slide 29: SURA Asset Management Consolidated Figures
SURA ASSET MANAGEMENT CONSOLIDATED FIGURES dec-16 Var. $ % Change % /Revenue dec-15 1,764.0 Retained premiums (net) 948.6 104.8 12.4% 47.9% Commission income 628.2 28.6 4.8% 31.7% + 215.9 Investment income 352.9 85.8 32.1% 17.8% TOTAL 12.2% Revenues via equity method 39.7 7.3 22.4% 2.0% REVENUES Exc
Slide 30: Mandatory Pension Market Figures
MANDATORY PENSION MARKET FIGURES ASSETS UNDER MANAGEMENT FUND MEMBERSHIP (MM) -2.5% 17.6% -0.5% 1.0% 4.0% 4.8% 8.0% 6.5% -11.8% 5.7% 10.2% 13.3% 3.1% 3.5% 15.8 17.0 4.4% 9.9% 8.5% 13.4% 13.3% 8.2% 8.6% 99,930 96,505 7.2 33,188 6.1 24,175 4.1 4.2 31,165 19,820 16,138 22,464 21,337 15,269 4,384 1.8 1.
Slide 31: Mandatory Pension Main Figures
MANDATORY PENSION MAIN FIGURES COMMISSION INCOME RETURN ON ENCAJE 9.5% -2.3% 7.1% 13.6% 4.1% -22.3% 970.4% 173.5% -17.8% 26.7% 1.8% 3.5% 2.0% 12.8% 3.0% -27.7% 0.0% 160.6% -18.4% 18.8% 30.7 551.2 574.0 24 18 14 14 233.6 228.2 173.2 189.8 122.7 131.4 2 5 21.7 24.7 0 1 1 Chile Mexico Peru Uruguay Tota
Slide 32: Voluntary Savings Segment Market Figures
VOLUNTARY SAVINGS SEGMENT MARKET FIGURES ASSETS UNDER MANAGEMENT CLIENTS (THOUSANDS) 7.4% 25.9% 15.5% 90.7% 11.2% 13.0% 12.7% -2.4% 68.9% 174.3% 15.9% 11.3% 951 10.6% 21.5% 73.3% 182.3% 15.9% 20.2% 9,493 842 8,530 409 381 3,172 3,423 3,339 266 296 2,814 1,736 2,012 152 191 530 895 35 41 15 27 75 8 C
Slide 33: Voluntary Savings Segment Main Figures
VOLUNTARY SAVINGS SEGMENT MAIN FIGURES COMMISSION INCOME NET PREMIUMS WITH SAVINGS 21.9% 2.2% 25.8% 95.7% 0.0% 14.3% 42.2% 334.1% 27.2% 41.6% 32.2% 359.7% 31.9% 13.4% 8.2% 19.9% 94.3% 0.0% 12.4% 54.9 21.2% 343.0 48.0 319.8 242.2 224.8 29.0 23.8 20.8 21.2 3.2 4.0 21.7 0.3 0.6 0.0 0.1 0.4 1.6 17.0 Chi
Slide 34: Insurance Segment Main Figures
INSURANCE SEGMENT MAIN FIGURES NET PREMIUMS ADJUSTMENTS TO RESERVES 7.3% 11.6% -46.1% -3.3% 11.0% 13.3% -39.1% 0.7% -0.2% 18.2% -48.6% -7.8% 3.2% 20.0% -42.0% -3.5% 602 606 387 348 Chile Mexico Peru Total -61 -88 -98 -113 123 140 130 79 -332 -356 Chile Mexico Peru Total -533 -515 RETAINED CLAIMS NET
Slide 35: Bancolombia, Grupo Nutresa and Grupo Argos
BANCOLOMBIA, GRUPO NUTRESA AND GRUPO ARGOS Medellín 35
Slide 36: Bancolombia
BANCOLOMBIA • Financial conglomerate that offers a wide portfolio of products and services in 10 countries • Leading franchise in Colombia an Central America, markets with attractive growth perspectives MAIN FIGURES • 11 million clients and 34,840 employees • Outstanding distribution network with 5,
Slide 37: Grupo Argos
GRUPO ARGOS STRATEGIC OPERATIONS Cement Energy Ports Coal Real Estate Infrastructure MAIN FIGURES Other 2.5% Real Estate 3.1% Infrastructure 11.8% Cement 44.6% USD 1.2 Bn USD 5.6 Bn EBITDA MARKET CAP PORTFOLIO DISTRIBUTION 24.9 % EBITDA 7.0 % DIVIDEND GROWTH 2015-16 Lands 17.4% MARGIN Energy 20.7% 1
Slide 38: Grupo Nutresa
GRUPO NUTRESA • Leader in the processed food industry in Colombia and the fourth* largest in Latin America • Presence in 15 countries with production plants in 12 of them • In 2013 it acquired Tresmontes Lucchetti, the second largest processed food company in Chile. It also made a joint venture with
Slide 39: Contact details
CEO: DAVID BOJANINI CFO: RICARDO JARAMILLO IR MD: JUAN CARLOS GOMEZ IR Specialist: MARIA ADELAIDA OCHOA E-mail: ir@gruposura.com.co Phone: (574) 4443607 www.gruposura.com.co GRUPO SURA App Para dispositivos móvil (App Store – Google Play) 39
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