Slide 1: First half results 2012
First half results 2012 Presentation for investors and analysts 26th July 2012
Slide 2: Contents
Contents 1 Key highlights 2 Consolidated financial information 3 Business development 4 Appendix 5 Financial supplement 6 Schedule and contacts 2 No. 2012 - 16
Slide 3: Key highlights: operating strength contains the effects of the financial crisis
1 Key highlights MAPFRE’s operating strength contains the effects of the financial crisis Revenues 13,140.9 13.0% Premiums 11,202.1 15.2% Managed savings 29,341.6 3.8% Non-life combined ratio 95.6% -0.9 p.p. ROE 12.2% -2.4 p.p. Attributable result 434.2 -20.1% Recurring attributable result 510.1 10.
Slide 4: Highlights of the first half results
1 Key highlights Highlights of the first half results The international business already contributes two thirds of the premiums and half of the recurring results Organic growth of the international business, enhanced by the depreciation of the Euro Non-Life: excellent underwriting result in Spain an
Slide 5: Write-down of the shareholdings in BANKIA and CATTOLICA
1 Key highlights Write-down of the shareholdings in BANKIA and CATTOLICA BANKIA: €77 million CATTOLICA: €13.4 million 21.1 0.1 92.2 90.4 (1.8) 3.8 13.4 17.2 2.4 9.9 24.3 MAPFRE MAPFRE MAPFRE VIDA MAPFRE MAPFRE GLOBAL MAPFRE RE MAPFRE TOTAL Minority Impact on FAMILIAR EMPRESAS INTERNACIONAL RISKS
Slide 6: Development of recurring results
1 Key highlights Development of recurring results 6M 2011 6M 2012 % Result from insurance operations 630.1 452.2 -28.2% Impact of the earthquakes in Japan and New Zealand 97.4 --- Greek fixed income --- 41.5 (1) Impairment of equities --- 90.4 Net realised gains -57.4 -34.5 -39.9% Gain from alliance
Slide 7: Growing international diversification
1 Key highlights Growing international diversification Aggregate premiums Contribution to insurance results 27% 25% 34% 39% 41% 45% 45% 51% 53% 59% 62% 66% 73% 75% 66% 61% 60% 55% 55% 49% 47% 41% 38% 34% 2007 2008 2009 2010 2011 6M 2007 2008 2009 2010 2011 6M 2012 2012 7 Spain Abroad No. 2012 - 16
Slide 8: Corporate transactions
1 Key highlights Corporate transactions Acquisition of minority shareholdings March 2012: acquisition of a 10.36% shareholding in MAPFRE AMÉRICA for a consideration of €244 million. Following this operation, MAPFRE S.A. holds 99.22% of the subsidiary. June 2012: MAPFRE AMÉRICA holds 100% of MAPF
Slide 9: Consolidated financial information
1 Key highlights 2 Consolidated financial information 3 Business development 4 Appendix 5 Financial supplement 6 Schedule and contacts 9 No. 2012 - 16
Slide 10: Breakdown of premiums and results by line of business and geographical areas
2 Consolidated financial information Breakdown of premiums and results by line of business and geographical areas Premiums(1) Contribution to consolidated results Spain 34% Abroad 66% Segment EUR MM % Non-Life Spain 158.2 35.0% Non-Life Abroad 114.2 25.3% 12.6% Life Spain 55.3 12.2% 11.0% 42.3% Life
Slide 11: Information by business areas
2 Consolidated financial information Information by business areas Contribution to premiums(1) Contribution to insurance results 6M 2011 6M 2012 6M 2011 6M 2012 Business area % % EUR MM Business area % % EUR MM DOMESTIC INSURANCE 41.7% 34.1% 4,068.8 DOMESTIC INSURANCE 55.5% 47.2% 213.5 MAPFRE BRASIL
Slide 12: Development of Non-Life insurance results
2 Consolidated financial information Development of Non-Life insurance results Non-Life business – Main business areas Premiums Underwriting result Combined ratio (1) Business area 6M 2011 6M 2012 % 6M 2011 6M 2012 % 6M 2011 6M 2012 DOMESTIC INSURANCE 2,729.5 2,622.1 -3.9% 261.1 228.0 -12.7% 88.6% 8
Slide 13: Development of Non-Life insurance results: account and key points
2 Consolidated financial information Development of Non-Life insurance results Non-Life Account Key points 6M 2011 6M 2012 % Organic growth of the international business, Gross written and accepted enhanced by the depreciation of the Euro, which 7,256.1 8,191.5 12.9% premiums offsets the impact of
Slide 14: Development of Life Assurance results
2 Consolidated financial information Development of Life Assurance results Life business – Main business areas Underwriting and financial Premiums result Business area 6M 2011 6M 2012 % 6M 2011 6M 2012 % DOMESTIC INSURANCE 1,594.1 1,446.7 -9.2% 128.3 82.9 -35.4% MAPFRE BRASIL 424.5 961.4 126.5% 195.
Slide 15: Development of Life Assurance results: account and key points
2 Consolidated financial information Development of Life Assurance results Life Account Key points 6M 2011 6M 2012 % Organic growth of the international business Very good performance of the agents’ channel in Gross written and accepted Spain, which partly offsets the weakness of the bank 2,468.
Slide 16: Development of results from Other Business Activities
2 Consolidated financial information Development of results from Other Business Activities Other Business Activities(1) Key points 6M 2011 6M 2012 % Reclassification of the fund management business of MAPFRE BRASIL from the Non-Life account to Other Business Activities Operating revenues 227.9 247
Slide 17: Consolidated result
2 Consolidated financial information Consolidated result 6M 2011 6M 2012 % Result on restatement of financial accounts -11.3 -3.6 -68.1% Result before tax and minority interests 851.9 823.8 -3.3% Taxes -218.5 -243.4 11.4% Result after tax 633.4 580.4 -8.4% Result after tax from discontinued operatio
Slide 18: Growth in assets
2 Consolidated financial information Growth in assets Balance Sheet Key points 30.6.11 31.12.11 30.6.12 Value attached to the assets included after the Goodwill 2,889.9 2,266.4 2,277.6 alliance with BANCO DO BRASIL Other intangible assets 885.5 2,450.1 2,358.0 Other fixed assets 398.7 382.0 377.2
Slide 19: A prudent investment policy adapted to the insurance business
2 Consolidated financial information A prudent investment policy adapted to the insurance business Breakdown by type of asset Breakdown by region(1) Other Cash USA 516.7 (1.4%) 930.0 (2.5%) 3,747.1 (10.3%) Other 3,336.8 (8.8%) Equities Government 1,034.6 (2.7%) fixed income Latin America 15,857.3 (4
Slide 20: Fixed income portfolio: 76.5% of investments
2 Consolidated financial information Fixed income portfolio: 76.5% of investments Breakdown by issuer Sovereign SOVEREIGN Spain 8,181.8 51.6% 53% matched Brazil 2,460.2 15.5% with Life Italy 847.3 5.3% Assurance USA 760.3 4.8% reserves Government Ireland 469.4 3.0% 15,857.3 (54.9%) Portugal 443.2 2.
Slide 21: Fixed-income portfolio: breakdown by rating and matching
2 Consolidated financial information Fixed-income portfolio: 76.5% of investments Breakdown by rating (S&P) Assets matching technical reserves Unrated 199.8 BB or lower (0.7%) 1,411.8 (4.9%) AAA Matched 5,063.3 (17.5%) 10,544.2 (36.5%) AA 2,431.2 (8.4%) BBB Unmatched 13,172.4 (45.6%) A 18,343.9 (63.
Slide 22: Development of equity reflects volatility in the financial markets
2 Consolidated financial information The development of equity reflects the volatility in the financial markets in the second quarter Statement of changes in equity Key points Equity Minority TOTAL TOTAL interests 6M 2012 6M 2011 BALANCE AS AT PRIOR YEAR END 7,042.9 2,683.7 9,726.6 7,795.8 Impact
Slide 23: Business development
1 Key highlights 2 Consolidated financial information 3 Business development 4 Appendix 5 Financial supplement 6 Schedule and contacts 23 No. 2012 - 16
Slide 24: Domestic Insurance Division: Key highlights
3 Business development Domestic Insurance Division DOMESTIC INSURANCE: Key highlights 6M 2011 6M 2012 % NON-LIFE BUSINESS 6M 2011 6M 2012 % Written and accepted premiums 2,729.5 2,622.1 -3.9% Written and accepted 4,323.6 4,068.8 -5.9% Underwriting result 261.1 228.0 -12.7% premiums Underwriting and
Slide 25: Domestic Insurance Division: highlights of the results
3 Business development Domestic Insurance Division: highlights of the results Premiums Premiums decrease as a result of the decline in demand in the Spanish market. In this environment, worthy of mention are: evolution a better performance than the market in the Motor line (-3.9% versus -4.7%), wi
Slide 26: Domestic Insurance Division: Non-Life
3 Business development Domestic Insurance Division Non-Life Premiums Combined ratio(1) 6M 2011 6M 2012 Loss ratio 78.9% 76.7% MOTOR 1,161.9 -3.9% MOTOR Expense ratio 15.8% 15.8% Loss ratio 82.9% 86.6% HEALTH 404.0 -0.2% HEALTH Expense ratio 17.9% 17.7% Loss ratio 51.9% 55.7% COMMERCIAL(2) 400.4 3.7%
Slide 27: Domestic Insurance Division: Life business activity indicators
3 Business development Domestic Insurance Division Life business: activity indicators GROSS WRITTEN AND ACCEPTED PREMIUMS 6M 2011 6M 2012 % CHANGE IN FUNDS UNDER MANAGEMENT (1) 6M 2011 6M 2012 (2) Regular premiums 315.9 253.2 -19.8% IFRS technical reserves -115.7 -254.9 Single premiums 1,028.0 915.9
Slide 28: VIF 2011
3 Business development VIF 2011 Breakdown of MAPFRE’s 2011 VIF +7.8 % +4.0 % 1,894.9 1,781.4 (113.5) +1.5 % 1,281.4 (500.0) Aggregate PVIF pre- TVFOGs Aggregate PVIF post- Minority interests VIF attributable to Million Euros TVFOGs TVFOGs MAPFRE S.A. 28 No. 2012 - 16
Slide 29: International Insurance Division: Key highlights
3 Business development International Insurance Division INTERNATIONAL INSURANCE: Key highlights 6M 2011 6M 2012 % MAPFRE AMÉRICA 6M 2011 6M 2012 % Written and accepted 3,887.5 5,416.0 39.3% Gross written and accepted premiums 2,936.5 4,297.6 46.3% premiums Underwriting and financial result 291.7 333
Slide 30: MAPFRE AMÉRICA: Premiums and results by countries
3 Business development International Insurance Division: MAPFRE AMÉRICA Premiums and results by countries PREMIUMS RESULTS (1) Local Local Currency Currency COUNTRY 6M 2011 6M 2012 % % 6M 2011 6M 2012 % % BRAZIL 1,327.9 2,325.8 75.1% 85.9% 231.8 227.3 -1.9% 4.1% M EXICO 306.2 380.2 24.2% 26.6% 13.0
Slide 31: MAPFRE AMÉRICA: Highlights of the Unit
3 Business development International Insurance Division: MAPFRE AMÉRICA Consolidation of the businesses with BANCO DO BRASIL since 31.5.2011 Highlights Variation in the combined ratio due to: of the Unit – an improvement in the loss ratio in the General Insurance and Health & Accident segments –
Slide 32: MAPFRE INTERNACIONAL: Premiums and results by countries
3 Business development International Insurance Division: MAPFRE INTERNACIONAL Premiums and results by countries PREMIUMS RESULTS (1) Local Local Currency Currency COUNTRY 6M 2011 6M 2012 % % 6M 2011 6M 2012 % % USA 712.3 769.7 8.1% -1.2% 24.0 69.7 190.2% 165.4% TURKEY 147.4 200.5 36.0% 40.8% 13.2 13
Slide 33: MAPFRE INTERNACIONAL: USA and other countries
3 Business development International Insurance Division: MAPFRE INTERNACIONAL USA Positive impact of the appreciation of the USD against the Euro(1) Rate increases in all states Decrease in production in California as a result of a change in the sales strategy, targeted at improving the underw
Slide 34: Global Businesses Division: Key highlights
3 Business development Global Businesses Division GLOBAL BUSINESSES: Key highlights 6M 2011 6M 2012 % MAPFRE RE 1,501.9 13.0% Premiums & operating MAPFRE GLOBAL RISKS 611.7 14.4% 2,229.5 2,548.8 14.3% income MAPFRE ASISTENCIA 435.2 19.1% Underwriting and financial 86.0 102.5 19.2% result Other non-t
Slide 35: Global Businesses Division: MAPFRE RE
3 Business development Global Businesses Division: MAPFRE RE Key figures Key highlights 6M 2011 6M 2012 % Gross written and accepted Growth in all segments, especially in the Life Assurance 1,329.6 1,501.9 13.0% premiums business Premiums growth continued in the May renewals - of which Life prem
Slide 36: Global Businesses Division: MAPFRE GLOBAL RISKS
3 Business development Global Businesses Division: MAPFRE GLOBAL RISKS Key figures Key highlights 6M 2011 6M 2012 % Gross written and accepted 534.5 611.7 14.4% Growth in new international markets, especially in premiums the Property Damage line Underwriting result 11.4 0.0 -100.0% Gross result(1)
Slide 37: Global Businesses Division: MAPFRE ASISTENCIA
3 Business development Global Businesses Division: MAPFRE ASISTENCIA Key figures Key highlights 6M 2011 6M 2012 % Growth driven by Travel Assistance Insurance, Operating income 365.4 435.2 19.1% especially in the UK and France Underwriting result 20.3 12.1 -40.4% Gross result(1) 16.5 16.7 1.2% I
Slide 38: Appendix
1 Key highlights 2 Consolidated financial information 3 Business development 4 Appendix 5 Financial supplement 6 Schedule and contacts 38 No. 2012 - 16
Slide 39: Organisation chart
4 Appendix Organisation chart MAPFRE S.A. DOMESTIC INSURANCE INTERNATIONAL INSURANCE GLOBAL BUSINESSES 100% 99.2% 91.5% MAPFRE FAMILIAR MAPFRE AMÉRICA MAPFRE RE 100% 100% MAPFRE 100% MAPFRE MAPFRE VIDA INTERNACIONAL ASISTENCIA 100% 100% MAPFRE EMPRESAS MAPFRE GLOBAL RISKS 39 No. 2012 - 16
Slide 40: Consolidated income statement
4 Appendix Consolidated income statement 6M 2011 6M 2012 % NON-LIFE INSURANCE AND REINSURANCE Gross written and accepted premiums 7,256.1 8,191.5 12.9% Premiums earned, net of ceded and retroceded reinsurance 5,828.0 6,585.5 13.0% Net claims incurred and variation in other technical provisions -4,07
Slide 41: Profit breakdown by units and companies
4 Appendix Profit breakdown by units and companies Contribution to consolidated result Net Minority 6M 2012 6M 2011 Result interests € Million % € Million % DOMESTIC INSURANCE 213.5 213.5 350.0 MAPFRE VIDA 55.3 55.3 12.7% 75.8 14.0% MAPFRE FAMILIAR 108.5 108.5 25.0% 209.3 38.5% MAPFRE EMPRESAS 49.7
Slide 42: Breakdown of recurring results by units and companies
4 Appendix Breakdown of recurring results by units and companies Contribution to Recurring attributable consolidated result Non-recurring results result 6M 2011 6M 2012 % 6M 2011 6M 2012 % 6M 2011 6M 2012 % DOMESTIC INSURANCE 350.0 213.5 -39.0% 33.6 -69.1 --- 316.4 282.6 -10.7% MAPFRE VIDA 75.8 55.3
Slide 43: Net financial income: selected information
4 Appendix Net financial income: selected information Breakdown of net financial income (before taxes) 6M 2011 6M 2012 % Net financial income, Non-life 379.4 278.8 -26.5% - of which realised capital gains and impairments 73.6 -139.5 -289.5% - of which foreign exchange gains/(losses) -8.0 15.1 -287.5
Slide 44: Net financial income: selected information (contd.)
4 Appendix Net financial income: selected information (contd.) Realisation gains, impairments and other negative financial results Impairments from Other negative Impact on pre-tax Realisation gains Bankia and Cattolica financial results result 6M 2011 6M 2012 6M 2011 6M 2012 6M 2011 6M 2012 6M 2011
Slide 45: Financial supplement
1 Key highlights 2 Consolidated financial information 3 Business development 4 Appendix 5 Financial supplement 6 Schedule and contacts 45 No. 2012 - 16
Slide 46: Operating companies: MAPFRE FAMILIAR
5 Financial supplement Operating companies: Key figures MAPFRE FAMILIAR 6M 2011 6M 2012 % Gross written and accepted premiums 2,344.8 2,223.5 -5.2% Net premiums earned 1,992.2 1,921.7 -3.5% Underwriting result 196.4 162.3 -17.4% Net financial income 108.3 2.7 -97.5% Other business activities 4.3 3.5
Slide 47: MAPFRE FAMILIAR by insurance lines
5 Financial supplement Operating companies: Key figures MAPFRE FAMILIAR – by insurance lines Motor 6M 2011 6M 2012 % Health 6M 2011 6M 2012 % Gross written and accepted premiums Gross written and accepted premiums 1,208.6 1,161.9 -3.9% 404.8 404.0 -0.2% Net premiums earned 1,158.3 1,153.2 -0.4% Net
Slide 48: Operating companies: MAPFRE EMPRESAS
5 Financial supplement Operating companies: Key figures MAPFRE EMPRESAS 6M 2011 6M 2012 % Gross written and accepted premiums 386.3 400.4 3.7% Net premiums earned 265.9 276.7 4.1% Underwriting result 59.6 64.3 7.9% Net financial income 30.6 5.8 -81.0% Other business activities -0.9 0.1 --- Other non
Slide 49: Operating companies: MAPFRE VIDA
5 Financial supplement Operating companies: Key figures MAPFRE VIDA Breakdown of premiums 6M 2011 6M 2012 % 6M 2011 6M 2012 % Regular Premiums 315.9 253.2 -19.8% Technical Reserves excluding - Agents' and other channels 162.8 151.9 -6.7% shadow accounting 18,135.0 18,219.0 0.5% Shadow accounting adj
Slide 50: MAPFRE VIDA: Funds under management
5 Financial supplement Operating companies: Key figures MAPFRE VIDA Funds under management 6M 2011 6M 2012 % Change in funds under management(1) 6M 2011 6M 2012 Regular premiums insurance 4,653.7 4,508.5 -3.1% (2) - Agents' channel and others 3,209.6 3,082.8 -4.0% IFRS technical reserves -115.7 -254
Slide 51: MAPFRE AMÉRICA key figures
5 Financial supplement Operating companies: Key figures MAPFRE AMÉRICA MAPFRE AMÉRICA – by lines 6M 2011 6M 2012 % Non-Life 6M 2011 6M 2012 % Gross written and accepted premiums 2,936.5 4,297.6 46.3% Gross written and accepted premiums 2,279.0 3,040.7 33.4% Net premiums earned 2,199.6 3,206.2 45.8%
Slide 52: MAPFRE BRASIL key figures
5 Financial supplement Operating companies: Key figures MAPFRE BRASIL MAPFRE BRASIL – by lines 6M 2011 6M 2012 Non-Life 6M 2011 6M 2012 Gross written and accepted premiums 903.4 1,364.4 Gross written and accepted premiums 1,327.9 2,325.8 Net premiums earned 729.5 1,146.6 Net premiums earned 1,142.3
Slide 53: MAPFRE INTERNACIONAL key figures
5 Financial supplement Operating companies: Key figures MAPFRE INTERNACIONAL MAPFRE INTERNACIONAL – by lines 6M 2011 6M 2012 % Non-Life 6M 2011 6M 2012 % Gross written and accepted premiums 950.9 1,118.4 17.6% Gross written and accepted premiums 927.3 1,053.1 13.6% Net premiums earned 801.4 955.6 19
Slide 54: MAPFRE USA and MAPFRE GLOBAL RISKS key figures
5 Financial supplement Operating companies: Key figures MAPFRE USA MAPFRE GLOBAL RISKS 6M 2011 6M 2012 % 6M 2011 6M 2012 % Gross written and accepted premiums 534.5 611.7 14.4% Gross written and accepted premiums 712.3 769.7 8.1% - Global Risks 478.5 552.6 15.5% Net premiums earned 633.4 706.9 11.6%
Slide 55: MAPFRE RE key figures
5 Financial supplement Operating companies: Key figures MAPFRE RE MAPFRE RE – by lines 6M 2011 6M 2012 % Non-Life 6M 2011 6M 2012 % Gross written and accepted premiums 1,329.6 1,501.9 13.0% Gross written and accepted premiums 1,136.3 1,260.2 10.9% Net premiums earned 978.6 1,027.1 5.0% Net premiums
Slide 56: Operating companies: MAPFRE ASISTENCIA
5 Financial supplement Operating companies: Key figures MAPFRE ASISTENCIA 6M 2011 6M 2012 % Operating income 365.4 435.2 19.1% - Gross written and accepted premiums 286.6 348.0 21.4% - Other income 78.8 87.2 10.7% Net premiums earned 221.4 282.5 27.6% Underwriting result 20.3 12.1 -40.4% Net financi
Slide 57: Schedule and contacts
1 Key highlights 2 Consolidated financial information 3 Business development 4 Appendix 5 Financial supplement 6 Schedule and contacts 57 No. 2012 - 16
Slide 58: 2012 Provisional Schedule
6 Schedule and contacts 2012 Provisional Schedule Release 2012 First Half Results 26-July-12 Madrid Conference Call – 2012 First Half Results Release 2012 Third Quarter Results 26-Oct-12 Madrid Conference Call – 2012 Third Quarter Results 30-Oct-12 London Presentation to analysts – 2012 Th
Slide 59: Investor Relations Department
6 Schedule and contacts Investor Relations Department Luigi Lubelli Deputy General Manager – Finance +34-91-581-6071 Jesús Amadori Carrillo Head of Investor Relations +34-91-581-2086 Alberto Fernández-Sanguino Investor Relations +34-91-581-2255 Natalia Núñez Arana Investor Relations +34-91-581-8664
Slide 60: Disclaimer
Disclaimer This document is purely informative. Its content does not constitute, nor can it be interpreted as, an offer or an invitation to sell, exchange or buy, and it is not binding on the issuer in any way. The information about the plans of the Company, its evolution, its results and its divide