Allianz Malaysia Bhd. · MYX:ALLIANZ

Allianz Malaysia Bhd — Q4 2018 Earnings Presentation

27 slides from Allianz Malaysia Bhd's earnings presentation, Feb 22, 2019

  1. Slide 1: Allianz Malaysia Berhad Financial Results 4Q 2018 Analyst Briefing

    Allianz Malaysia Berhad (12428-W) Financial Results 4Q 2018 Analyst Briefing 22 February 2019

  2. Slide 2: AMB Group Results

    1 AMB Group Results 2

  3. Slide 3: Profitable growth from diversification

    Allianz Malaysia Berhad (12428-W) Profitable growth from diversification Operating revenue  Group operating revenue of RM5.18 billion, an increase of 7.9% as compared to corresponding period of RM4.80 billion due to higher gross earned premiums and investment income by RM313.3 million and RM67.6 mi

  4. Slide 4: Financial Highlights 12M 2018: Group Operating Revenue

    Allianz Malaysia Berhad (12428-W) Financial Highlights 12M 2018 Group Operating Revenue (RM’mil) General Business (RM’mil) +7.9% +4.1% 2,254.0 2,345.8 12M 2017 12M 2018 5,182.0 Life Business (RM’mil) 4,801.0 +11.4% 2,532.8 2,822.6 12M 2017 12M 2018 12M 2017 12M 2018 4

  5. Slide 5: Financial Highlights 12M 2018: Group Gross Written Premiums

    Allianz Malaysia Berhad (12428-W) Financial Highlights 12M 2018 Group Gross Written Premiums (“GWP”) (RM’mil) General Business (RM’mil) +5.1% -0.7% 2,135.8 2,121.3 12M 2017 12M 2018 4,504.8 4,285.4 Life Business (RM’mil) +10.9% 2,383.5 2,149.6 12M 2017 12M 2018 12M 2017 12M 2018 5

  6. Slide 6: Financial Highlights 12M 2018: Group Profit Before Tax

    Allianz Malaysia Berhad (12428-W) Financial Highlights 12M 2018 Group Profit Before Tax (RM’mil) PBT Drivers (RM’mil) +18.7% +31.5 519.0 +53.7 437.3 -3.5 519.0 437.3 PBT General Life Investment PBT 12M 2017 Business Business Holdings 12M 2018 12M 2017 266.9 172.9 (2.5) 437.3 12M 2018 320.6 204.4 (6.

  7. Slide 7: Financial Overview

    Allianz Malaysia Berhad (12428-W) Financial Overview 3 YEAR RM’mil 2015 2016 2017 2018 CAGR Gross Written Premiums 4,132.7 4,182.6 4,285.4 4,504.8 2.9% Management Expenses 464.8 513.2 603.8 554.9 6.1% Expense Ratio (Non Life) 16.9% 17.4% 20.3% 18.4% (1.5) pts Expense Ratio (Life)1 9.9% 11.3% 12.1% 1

  8. Slide 8: Summary of audited Financial Results

    Allianz Malaysia Berhad (12428-W) Summary of audited Financial Results RM’mil 12M 2017 12M 2018 18/17 % Operating revenue 4,801.0 5,182.0 7.9% Gross earned premiums 4,233.7 4,547.0 7.4% Premiums ceded to reinsurers (305.4) (366.7) (20.1%) Net earned premiums (“NEP”) 3,928.3 4,180.3 6.4% Net change

  9. Slide 9: General Business

    Allianz @i) General Business

  10. Slide 10: General Business

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business Gross written premiums  Gross written premium declined by 0.7% as compared to prior year. Profitability  Higher profit before tax due to higher underwriting profit. ✔ Net investment results  Stable growth in investmen

  11. Slide 11: General Business: GWP is marginally below prior year

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: GWP is marginally below prior year Gross Written Premiums (RM’mil) -0.7% Distribution Channel & Portfolio Mix Telemarketing 2,135.8 2.7% 2,121.3 38.8 Agent 36.7 59.7% Motor 34.4 33.3 63.4% Broker 15.4% 585.7 514.2 490.2

  12. Slide 12: General Business: Stable growth in investment income

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Stable growth in investment income Net Investment Results/Net Operating Expenses (RM’mil) +10.6% Portfolio Mix and Investment Yield (Annualized) Portfolio Mix Investment Yield 182.8 165.3 Unquoted unit trust Property 2.

  13. Slide 13: General Business: Higher PBT due to higher underwriting profit

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Higher PBT due to higher underwriting profit Profit Before Tax (RM’mil) 20.1% PBT Drivers (RM’mil) 320.6 320.6 266.9 36.2 266.9 11.5 6.0 88.4 73.5 67.4 77.0 77.2 78.0 75.4 50.6 PBT UW Investment Others PBT 12M 2017 resu

  14. Slide 14: General Business: Lower combined ratio due to lower expense ratio

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Lower combined ratio due to lower expense ratio Combined Ratio 1.7 pts 92.6% 92.0% 98.6% 94.6% 94.5% 92.9% 93.8% 93.6% 92.8% 90.6% 1.3% 0.6% 2.0% 3.1% 1.8% 18.9% 19.7% 18.3% 18.5% 16.7% 17.9% 18.7% 20.0% 18.4% 17.3% 65.

  15. Slide 15: General Business: Audited financial results at a glance

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Audited financial results at a glance RM’mil 12M 2017 12M 2018 18/17 % Gross written premiums 2,135.8 2,121.3 (0.7)% Gross earned premiums 2,084.1 2,163.5 3.8% Net earned premiums 1,831.8 1,897.0 3.6% Net change in cla

  16. Slide 16: General Business: Performance compared to Industry (Jan-Dec 2018)

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Performance compared to Industry (Jan-Dec 2018) AGIC (excl. AGIC Industry 1 Takaful 2 KPIs CIMB) 12M 2018 12M 2018 12M 2018 12M 2018 GWP growth -0.7% 6.7% 1.5% 8.9% Commission ratio 12.3% 9.9% 4.1% Claims ratio • Overal

  17. Slide 17: Life Business

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) 3 Life Business 17

  18. Slide 18: Life Business

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business Gross written premiums  Gross written premiums grew by 10.9%. Distribution  Strong performance from Agency channels.  Agency ANP achieved 14.9% growth. Remain focus on building professional and productive agency force.  Product mix

  19. Slide 19: Life Business: Growth in both Single Premium and Recurring Premium

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Growth in both Single Premium and Recurring Premium Gross Written Premiums (“GWP”) (RM’mil) +10.9% 2,383.5 GWP Mix & Growth (%) (12M 2018) 2,149.6 608.2 594.3 609.0 Mix Single 572.0 Premium 555.0 547.5 529.5 517.6 17.6% 479.2 428.5 451

  20. Slide 20: Life Business: Growth in ANP driven by Agency, Bancassurance and Employee Benefits

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Growth in ANP driven by Agency, Bancassurance and Employee Benefits channels Annualised New Premiums (“ANP”) (RM’mil) ANP Channel Mix (%) +13.3% (12M 2018) 512.8 452.5 Alternative Corporate 140.3 Distribution/ 4.0% 5.8 135.3 Bancassura

  21. Slide 21: Life Business (Agency): Continue focus on profitable regular Investment-Linked products

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business (Agency): Continue focus on profitable regular Investment-Linked products with contribution from traditional business Agency Annualised New Premiums (RM’mil) +14.9% Agency Product Mix (%) (12M 2018) 404.5 352.1 By ANP Traditional 26.6%

  22. Slide 22: Life Business: Protection Business (Investment-Linked) continues to grow

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Protection Business (Investment-Linked) continues to grow Annualised New Premiums (RM’mil) Gross Written Premiums (RM’mil) +4.0% +17.5% 1,261.9 296.8 285.4 1,074.2 90.3 93.0 365.3 303.2 302.8 70.3 68.3 266.9 301.0 67.3 65.3 65.2 256.1

  23. Slide 23: Life Business: Lower net investment results due to fair value losses

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Lower net investment results due to fair value losses Investment Results by Investment Results funds (RM’mil) (RM’mil) Investment Yield -83.5% -83.5% Portfolio Mix and Investment Yield (LF+SHF) 629.7 (%) (Annualized) Others 629.7 Loans

  24. Slide 24: Life Business: Audited financial results at a glance

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Audited financial results at a glance RM’mil 12M 2017 12M 2018 18/17 % Gross written premiums 2,149.6 2,383.5 10.9% Premiums ceded to reinsurers (53.1) (100.2) (88.7%) Net earned premiums 2,096.5 2,283.3 8.9% Net change in benefits an

  25. Slide 25: Allianz Life: Outperformance against market led by Agency and Employee Benefits channel

    Allianz Life Insurance Malaysia Berhad (104248-X) Allianz Life: Outperformance against market led by Agency and Employee Benefits channel Market growth analysis (12M 2018) Annualised New Business 5-year CAGR 12M 2018 Growth 12M 2017 Growth (2013-2018) ALIM Industry Market Market ALIM Industry Distri

  26. Slide 26: Thank You for Your Attention

    Thank You for Your Attention Allianz @)

  27. Slide 27: Disclaimer

    Disclaimer These assessments are, as always, subject to the disclaimer provided below. Cautionary Note Regarding Forward-Looking Statements The statements contained herein may include statements of future levels, (vi) the extent of credit defaults, (vii) interest rate levels, (viii) currency expecta

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