Medibank Private Ltd. · ASX:MPL
Medibank Private — Macquarie Australia Conference 2016
17 slides from Medibank Private's conference presentation, May 6, 2016
Slide 1: Macquarie Australia Conference, May 2016
For personal use only 6 May 2016
Slide 2: Disclaimer
The information contained in this presentation is for information purposes only. No representation or warranty is made that any of these statements or forecasts For personal use only The information contained in this presentation is not investment or financial (express or implied) will come to pass
Slide 3: For personal use only
3 For personal use only
Slide 4: Private health insurance at the core but a differentiated approach
private health insurance at the core but a differentiated approach For personal use only FY15 revenue1 $6.6 billion Complementary Services 10% Reporting Complementary Health Insurance segments Services Health Insurance Corporate 90% Overseas Customers Medibank ahm Corporate students & retail retail
Slide 5: Executive committee structure aligned with strategy, clear accountabilities
executive committee structure aligned with strategy, clear accountabilities For personal use only Craig Drummond CEO & Managing Director (commences 4 July 2016) David Koczkar Dr Andrew Wilson Paul Koppelman Kylie Bishop Sarah Harland Chief Operating Officer EGM Provider Networks Chief Financial Offi
Slide 6: Business snapshot
business snapshot 3.9 For personal use only MPL.AX Listed on the ASX on 25 November 2014, 289,331 million Medibank’s float was the Number of shareholders 2nd largest in Australian *as at 30 April 2016 Members history. *as at 31 December 2015 Australian PHI market 2,600 (total policyholders, 30 June
Slide 7: For personal use only
For personal use only
Slide 8: Health insurance result
health insurance result successful health benefit claims management driving operating margin improvement For personal use only 1H16 Health Insurance operating profit 1 Premium revenue growth • Population growth and participation rate $3,080.0m $271.7m $(257.2)m Premium revenue growth of 8.8% • Polic
Slide 9: Health benefit claims
health benefit claims continued margin improvement driven by product management and payment integrity program For personal use only Net claims expense (incl. risk equalisation) Indicative composition and movement in dollar value vs. 1H15 Dental +1% 10% Optical -1% 6% Hospital Extras Physiotherapy +2
Slide 10: Operating profit margin
operating profit margin top tier is our benchmark For personal use only Health Insurance operating profit margin: Top 6 vs. rest of industry1 8% 2 6% 4% 2% Rest of Industry3 0% FY11 FY12 FY13 FY14 FY15 -2% Source: APRA (formerly PHIAC), Medibank Private 1. The operating profit margin includes Austra
Slide 11: For personal use only
For personal use only
Slide 12: Key trends
key trends four key trends impacting the private health insurance industry For personal use only AFFORDABILITY CONSUMER TRENDS INDUSTRY DYNAMICS REGULATORY ENVIRONMENT 12
Slide 13: Regulatory reform
regulatory reform momentum building for changes to address healthcare affordability and quality For personal use only Medicare compliance MBS review Primary Health Care Advisory Group January February March April May June July Federation review PHI review Parliamentary inquiry into Chronic Disease M
Slide 14: Our strategy
our strategy sustaining profitable growth For personal use only Focus areas • Product performance • Marketing & sales effectiveness • Health cost leadership 14
Slide 15: High performance health insurance
high performance health insurance optimising the current business: short to medium term focus For personal use only Focus areas Strategic programs Product • Introducing new products and benefits to drive growth performance • Addressing underperforming products Marketing • Strengthening two-brand str
Slide 16: Health insurance outlook
health insurance outlook updated outlook from 22 January 2016 confirmed For personal use only Health Insurance financial targets for FY16 • Premium revenue growth between 4.5% and 5.0% • Management expense ratio of 8.5% • Operating profit above $470m These targets anticipate that the second half ope
Slide 17: For personal use only
For personal use only
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