Wuestenrot & Wuerttembergische Ag · XETR:WUW
Wuestenrot & Wuerttembergische — Wüstenrot & Württembergische — Q1 2023 Earnings Presentation
26 slides from Wuestenrot & Wuerttembergische's earnings presentation, May 31, 2023
Slide 1: Quarterly Statement Q1 2023 W&W Group
Wüstenrot & Württembergische AG Quarterly Statement Q1 2023 W&W Group 31 May 2023
Slide 2: Agenda
Agenda W&W – Overview & Strategy Quarterly Results Q1 2023 Outlook Appendix W&W AG | Quarterly Statement as at 31 March 2023 | 31 May 2023 Page 2
Slide 3: W&W Group structure
W&W – Overview & Strategy W&W Group structure Shareholder Structure W&W AG in % Service and Central Functions Freefloat ~21.40 Wüstenrot W&W Asset Management GmbH Holding AG Asset Management Others 39.91 Wüstenrot & Württembergische AG > ~10.00 W&W Informatik GmbH IT WS Holding AG 27.36 Wüstenrot Fo
Slide 4: Our business areas are supported by strong partners across the group
W&W – Overview & Strategy Our business areas are supported by strong partners across the group Segment Housing Service and Central Functions Segment Insurance ▪ Everything around housing: home ▪ Group-wide services around IT, ▪ Service insurer in the life, health loan savings, financing, project inv
Slide 5: Excellent client base with growth potential
W&W – Overview & Strategy Excellent client base with growth potential ✓ On average three contracts per customer ∼6.5m ✓ High client retention (low churn rate) ✓ Customers1 Solvent customer base ✓ Increasing digital affinity Note: 1) as of Feb. 2023 W&W AG | Quarterly Statement as at 31 March 2023 |
Slide 6: The W&W Group pursues a multi-channel sales approach
W&W – Overview & Strategy The W&W Group pursues a multi-channel sales approach Own sales channels Partnerships and cooperations Insurances 3,000 tied agents Banks and financial distributors 3,000 tied agents Sales networks& Brokers Over 20.000 brokers Direct channels Parternships Comprehensive multi
Slide 7: Overview regulatory capital of group key entities
W&W – Overview & Strategy Overview regulatory capital of group key entities Regulatory capital of group key entities in % Capital ratios (Solvency II ratios for insurance entities) Bausparkasse in % W&W AG Württembergische Württembergische Wüstenrot W&W Group (solo) Vers. AG (P&C) LV AG (Life) Bausp
Slide 8: To the point: Sustainability goals of the W&W Group
W&W – Overview & Strategy To the point: Sustainability goals of the W&W Group E S G E S G Customers Capital Own investments Society Organisation Employees and operations products and refinancing "Green" product lines CO2 -neutral operation Promotion of cultural, Strengthen awareness Developing the f
Slide 9: The W&W AG share - inclusion into the SDAX on March 20, 2023
W&W – Overview & Strategy The W&W AG share - inclusion into the SDAX on March 20, 2023 W&W share stable in adverse capital market environment Analyst opinions Metzler 03/04/23 buy / price target: 24.00 EUR 24 Montega 05/04/23 buy / price target: 23.00 EUR 22 LBBW 31/03/23 buy / price target: 22.00 E
Slide 10: Agenda
Agenda W&W – Overview & Strategy Quarterly Results Q1 2023 Outlook Appendix W&W AG | Quarterly Statement as at 31 March 2023 | 31 May 2023 Page 10
Slide 11: Overview Q1 2023
Group and Segment Development Q1 2023 Overview Q1 2023 For the W&W Group, the first three months were a good start to 2023. At €64.1 million (previous year: €62.1 million), total comprehensive income under IFRS was slightly above the adjusted IFRS 17 of the previous year. It was supported by more st
Slide 12: Introduction of IFRS 17
Group and Segment Development Q1 2023 Introduction of IFRS 17 Implications on the W&W Group Equity Balance Sheet Earnings Positive Implications: Positive Implications: Negative Implications: ▪ Compared to the previous ▪ Previously existing valuation ▪ Higher earnings volatility cannot be accounting
Slide 13: Group - transition of equity IFRS 4 to IFRS 17
Group and Segment Development Q1 2023 Group - transition of equity IFRS 4 (31.12.2021) – IFRS 17 (01.01.2022) Equity effects vs. IFRS 4 -0,3 6,0 1 Revaluation of technical provisions: -0,2 bn. EUR: +0,3 1,2 of which Property/Casualty Insurance and other segment: +0,8 bn. EUR (after Re-Insurance) → D
Slide 14: Further growth in W&W's core business in a more stable market environment
Group and Segment Development Q1 2023 Further growth in W&W's core business in a more stable market environment +28,6% - 16,7% +24,5% 6.913 985 173 ▪ In gross new home loan savings business, W&W Group achieved the 821 5.374 139 best quarterly result in the company’s history. ▪ Satisfactory increase
Slide 15: More stable capital market conditions led to good results
Group and Segment Development Q1 2023 More stable capital market conditions led to good results ▪ The increase in the net profit was mainly due to the development of the financial result and a good +54,3% +3,2% underwriting result. 125 62 64 +14,8% ▪ The increase in the financial income 155 is mainl
Slide 16: IFRS consolidated income statement
Group and Segment Development Q1 2023 IFRS consolidated income statement IFRS 17 IFRS 17 in Mio. EUR Delta 1 Q1 2023 Q1 2022 Net financial income: Interest rates, Net financial income 1 125 81 44 which jumped in the previous year, and Current net income 285 290 -5 the declining stock markets as a re
Slide 17: Consolidated balance sheet Q1/2023 and previous year under IFRS 17
Group and Segment Development Q1 2023 Consolidated balance sheet Q1/2023 and previous year under IFRS 17 IFRS 17 IFRS 17 1 in Mio. EUR Delta Q1 2023 AR 2022 1) Increase of deposits through Financial assets at fair value through profit or loss 10.084 10.276 -192 a) Liquidity inflow via customer time
Slide 18: Segment overview
Group and Segment Development Q1 2023 Segment overview Reported segments IFRS 17 IFRS 17 IFRS 17 IFRS 4 1▪ Previous year's result in the (in Mio. EUR) Q1/23 Q1/22 Q1/23 Q1/22 Housing segment was vs. Q1/22 retrospectively adjusted due to a change in the amortization of the Housing segment 20,9 1 52,1
Slide 19: Segment Housing
Group and Segment Development Q1 2023 Segment Housing +74,6% ▪ Decline in segment net income compared to the previous year 6.075 -59,6% -53,7% 52 1.339 ▪ New home loan and savings business increased significantly despite challenging conditions 3.479 620 ▪ Overall, continuation of the growth 21 path
Slide 20: Life and Health insurance segment
Group and Segment Development Q1 2023 Life and Health insurance segment ▪ Segment result generally stable. In the previous year, special income from reversal of IFRS 17 special provision ARA-PK (Subsidiary liability) due to rise in interest rates -7,7% -16,6% 13 12 985 ▪ The premium of the new busin
Slide 21: Property and Casualty insurance segment
Group and Segment Development Q1 2023 Property and Casualty insurance segment ▪ Segment result above previous year's +31,5% level due to positive valuation result +580% as a result of the more stable 168 96,9 24 92,1 developments on the stock market 49 128 37 19 ▪ Both brand new business and replace
Slide 22: Agenda
Agenda W&W – Overview & Strategy Quarterly Results Q1 2023 Outlook Appendix W&W AG | Quarterly Statement as at 31 March 2023 | 31 May 2023 Page 22
Slide 23: Outlook for 2023 as a whole
Outlook Outlook for 2023 as a whole In the first quarter, persistent inflation, rising key interest rates and geopolitical tensions continued to cause volatility in the financial markets. The W&W Group still expects to achieve consolidated net profit of between €220 million and €250 million in 2023
Slide 24: Agenda
Agenda W&W – Overview & Strategy Quarterly Results Q1 2023 Outlook Appendix W&W AG | Quarterly Statement as at 31 March 2023 | 31 May 2023 Page 24
Slide 25: Be sure to keep in touch with us
IR contact Be sure to keep in touch with us For further information please 15.09.2023 refer to Date to follow Michael Ellwanger Head of Investor Relations +49 711 662 725252 ir@ww-ag.com Please visit our IR-Website: W&W AG | Quarterly Statement as at 31 March 2023 | 31 May 2023 Page 25
Slide 26: Disclaimer
This presentation and the information contained in it, as well as all other documents and explanatory notes (collectively, the “Material”), are issued by Wüstenrot & Württembergische AG ("W&W"). This presentation contains certain forward-looking statements and forecasts that reflect the current view
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