Bangkok Life Assurance Public Co., Ltd. · SET:BLA
Bangkok Life Assurance Public — Bangkok Life Assurance — Q1 2013 Earnings Presentation
35 slides from Bangkok Life Assurance Public's earnings presentation, May 13, 2013
Slide 1: Bangkok Life Assurance 1Q13 Performance Update
Bangkok Life Assurance 1Q13 Performance Update May 13, 2013
Slide 2: Premium Growth - All Type
Premium Growth - All Type %YoY %QoQ First Year Premium +190.28% +109.65% Renewal Year Premium +13.78% +51.32% Total Premium +47.27% +69.05% TP 13,244 10,091 8,993 7,835 (Million Baht) 7,721 8,304 RYP 7,313 7,298 5,774 5,488 4,920 FYP 1,695 2,777 1,947 2,347 1Q12 2Q12 3Q12 4Q12 1Q13 1Q13 Industry Ind
Slide 3: Premium Growth - Bancassurance
Premium Growth - Bancassurance %YoY %QoQ First Year Premium +241.06% +169.52% Renewal Year Premium +19.62% +148.11% Total Premium +69.11% +157.33% 9,786 TP 7,203 5,787 (Million Baht) 4,758 5,376 RYP 3,803 4,805 4,494 3,159 2,167 4,411 1,293 2,398 1,599 1,636 FYP 1Q12 2Q12 3Q12 4Q12 1Q13 1Q13 Industr
Slide 4: Premium Growth - Agency
Premium Growth - Agency %YoY %QoQ First Year Premium +39.96% -39.43% Renewal Year Premium +3.44% -21.55% Total Premium +7.40% -24.69% 3,919 TP 2,951 2,748 2,726 2,644 (Million Baht) 3,231 RYP 2,450 2,535 2,313 2,442 298 688 416 331 284 FYP 1Q12 2Q12 3Q12 4Q12 1Q13 1Q13 Industry Industry %YoY %QoQ Fi
Slide 5: Product Mix
Product Mix FYP (%Growth) Proportion (%) Agent Channel 1Q13 2012 1Q13 1Q12 2012 2011 Endowment 141.97 53.90 51.54 29.62 49.20 38.87 Whole Life 10.97 15.02 48.32 70.35 50.56 53.45 Total 40.08 21.60 100.00 100.00 100.00 100.00 FYP (%Growth) Proportion (%) Bancassurance 1Q13 2012 1Q13 1Q12 2012 2011 En
Slide 6: Product Mix
Product Mix FYP (%Growth) Proportion (%) Total 1Q13 2012 1Q13 1Q11 2012 2011 Endowment 278.91 (37.13) 84.97 65.10 43.12 72.64 Life Protection 33.81 139.72 12.95 28.09 53.62 23.69 Group Employee (11.94) (5.89) 1.87 6.15 2.75 3.09 Others (6.37) (6.21) 0.21 67.00 0.51 0.58 Total 190.28 5.91 100.00 100.
Slide 7: Channel Distribution
Channel Distribution First Year Premium Renewal Year Premium Total Premium 90% 74% 71% 78% 69% 64% 65% 52% 49% 44% 29% 41% 31% 30% 17% 22% 13% 10% 2% 8% 5% 4% 5% 13% 4% 2% 9% Agent Banc Others
Slide 8: Agency Force
Agency Force Persons Person TNQA : Thailand National Quality Awards 750 IQA : International Quality Awards No. of TNQA of Industry 2011 19,327 20,100 616 600 18,100 602 16,100 MTL 30 KTAL 135 14,100 450 13,085 12,100 10,100 300 8,100 OLIC 435 7,550 AIA 880 6,100 150 113 2,319 4,100 77 50 BLA 586 50
Slide 9: Premium Collection
Premium Collection Ordinary Ordinary (%) 1Q13 2012 2011 2010 KTAL 91 92 85 89 AZAY 90 87 91 91 AIA 89 92 89 92 SCBLife 87 88 84 87 MTL 86 90 91 91 TLI 84 92 85 90 OLIC 79 84 91 88 Industry 88 90 88 91 All Type All Type (%) 1Q13 2012 2011 2010 KTAL 90 90 82 88 AZAY 87 85 89 88 MTL 86 90 90 91 SCBLife
Slide 10: Performance Highlights - 1Q2013
Performance Highlights - 1Q2013 Net Profit Movement Investment +70 -395 +293 1,012 MB Interest Underwriting Income Profit -116 922 MB +89 -29 Dividend & Opt. FX losses Tax Cap gains Expenses Net Profit Net Profit 1Q2012 -8.90% 1Q2013 25.59% Return on Equity 17.65%
Slide 11: Performance Highlights - 1Q2013
Performance Highlights - 1Q2013 Shareholders’ Equity Movement +922 +89 21,819 MB 19,465 MB +2,354 MB Equity 1Q13 Fair Equity 31 Dec 12 Profit Value 31 Mar 13 Gains
Slide 12: Financial Statement
Financial Statement Unit : MB 1Q13 % 2012 % Chg. (MB) Total Assets 157,171 100.00 143,567 100.00 13,604 Investment 149,982 95.43 138,494 96.47 11,487 Net premises + equipment 299 0.19 305 0.21 -6 premium receivable 2,954 1.88 1,613 1.12 1,341 Accrued Investment 2,102 1.34 1,500 1.04 602 Others 1,834
Slide 13: Shareholders Equity
Shareholders Equity Unit : MB 1Q13 2012 2011 Total Equity 21,819 19,465 13,277 Paid-up Capital 1,207 1,205 1,200 Share Premium 2,792 2,759 2,700 Unrealized gain (loss) 6,531 5,153 1,982 Retain earnings 11,205 10,283 7,395 Life Policy Reserve 122,256 112,337 89,472 Solvency Ratio (RBC) 265%* 268% 222
Slide 14: Investments - Allocation
Investments - Allocation Unit Trust 1.72% Loans 1.91% Unit Trust 1.9% Loans 1.84% Stocks 9.17% Stocks 10.08% Debenture 20.20% Debenture 19.51% Bond Bond Bond Bond 66.45% 63.10% Bond 66.1% Short Term Short Term 66.97% 66.97% 0.55% 0.57% 2012 1Q13 Foreign G-Bond SOE Foreign % on BBB+ to A+ Investment
Slide 15: Investments
Investments 5.5 5.8 5.8 5.5 5.4 5.3 5.1 5.3 ROI 4.8 149,982 28,590
Slide 16: Investments - Income Breakdown
Investments - Income Breakdown 9.8 8.7 9.4 8.3 6.7 ROI 5.6 4.9 5.3 5.3 4.7 Cap Gains Dividend Interest ROI before AP-Accounting ROI before AP-MTM equity
Slide 17: Expenses - Reserve & Benefit Paid
Expenses - Reserve & Benefit Paid Quarterly Yearly 76.3 70.8 64.3 65.3 66.8 60.2 65.1 67.0 52.1 59.4 Reserve: Net Premium Reserve: Net Premium 90.29 87.58 Baht Baht 84.88 94.56 Million Million 89.95 87.18 88.21 92.04 91.58 85.50 Benefit Paid Reserve = Reserve& Benefit Paid : Net Premium
Slide 18: Expenses - OPEX/Investment vs ROI Spread
Expenses - OPEX/Investment vs ROI MB MB 550 7 5.9 8.5 6.5 7.2 6.4 6.8 7.1 6.6 5.2 6 1,800 6.0 5.7 4.7 4.3 4.5 5 3.9 3.6 1,400 3.9 4 OPEX 400 3 1,000 2 600 1 250 0 200 1Q12 2Q12 3Q12 4Q12 1Q13 Operating expenses % on Net Premium Operating expenses % on Net Premium % 4.3 3.9 % 3.5 4.1 3.4 10 2.8 3.3 3
Slide 19: Net Income
Net Income Net Income % Tax Rate 35 %YoY %QoQ 29.4 30 27.4 26.9 Net Income -8.9 +28.26 25.7 24.8 24.8 Comprehensive 25 22.1 21.8 +40.19 +13.40 Income 2,299 20 16.6 2,183 2,028 15 1,640 Note : Adjusted deferred tax 1,339 1,012 922 % ROE 808 844 35 719 31 28 30 24 25 25 22 23 23 20 18 15 15 1Q12* 2Q12
Slide 20: Underwriting Income Analysis
Underwriting Income Analysis 1Q13 1Q12 %YoY 4Q12 %QoQ Net Premium 12,978 8,803 47.43 7,751.91 67.42 Inc. Policy Reserve 9,903 5,755 72.07 4,984.56 98.67 % of net premium 76.31% 65.38% 0.64 Benefits Payment 2,368 2,013 17.65 2,114.99 11.98 % of net premium 18.25% 22.87% 0.27 Commissions & Brokerages
Slide 21: Operating Performance
Operating Performance 1Q13 1Q12 %YoY 4Q12 %QoQ Dividends 223 176 27.11 48 361.06 Interest & Discount Received 1,466 1,174 24.93 1,434 2.25 Capital Gain on Securities 216 206 4.69 86 150.81 Total Investment Inc 1,905 1,555 22.49 1,568 21.48 Net Inv. Income & Other Inc. 1,898 1,544 22.91 1,562 21.50 R
Slide 22: Operating Highlights - continued
Operating Highlights - continued % MB Asset Expense Ratio & Spread % 166,000 10 6 3.8 3.9 3.9 148,000 3.3 3.6 2.8 3.2 3.3 2.5 2.2 130,000 8 1.2 1.6 1.7 2 112,000 6 94,000 -2 76,000 4 58,000 -6 40,000 2 22,000 4,000 0 -10 Investment Assets Total Assets Adjusted OPEX/Inv. Assets Net ROI Spread (RHS) M
Slide 23: Capital Adequacy Ratio: CAR (As of Mar 2013)
Capital Adequacy Ratio: CAR (As of Mar 2013) 20 150% 18 18.00 17.12 15.63 16 14.80 14.39 14.74 14.28 (Jan 1, 2016) 13.76 13.50 14 12 8.81 9.16 10 8.13 7.31 7.19 7.58 7.56 OIC 7.08 140% 8 6 5.41 Monitoring (Jan 1, 2013 - Dec 31, 2015) 4 2 225% 202% 197% 222% 252% 238% 274% 268% 265% 0 2009 2010 3Q11
Slide 24: Bangkok Life Assurance Market Ranking Jan – Mar 2013
Bangkok Life Assurance Market Ranking Jan – Mar 2013
Slide 25: Ranking – Ordinary Premium 1Q13
Ranking – Ordinary Premium 1Q13 First Year Premium Total Premium Company MB Share (% ) % YoY Company MB Share (% ) % YoY MTL 5,445 21.07 40.23 AIA 22,275 24.54 5.36 BLA 4,445 17.20 239.74 MTL 13,314 14.67 31.34 AIA 3,536 13.68 27.45 BLA 12,373 13.63 49.58 TLI 2,558 9.90 2.16 TLI 10,972 12.09 8.21 KT
Slide 26: Ranking - All Type Premium 1Q13
Ranking - All Type Premium 1Q13 First Year Premium Total Premium Company MB Share (% ) % YoY Company MB Share (% ) % YoY AIA 6,800 17.74 34.84 AIA 26,086 23.81 8.89 MTL 6,493 16.94 41.18 MTL 14,860 13.56 31.32 BLA 4,920 12.83 190.23 BLA 13,224 12.07 47.05 SCBLife 4,167 10.87 14.96 TLI 12,137 11.08 4
Slide 27: Ranking – Bancassurance 1Q13
Ranking – Bancassurance 1Q13 First Year Premium Total Premium Company MB Share (% ) % YoY Company MB Share (% ) % YoY MTL 5,356 22.98 44.76 MTL 10,783 22.74 38.51 BLA 4,411 18.92 241.06 BLA 9,786 20.64 69.11 SCBLife 3,842 16.48 20.81 SCBLife 9,605 20.26 19.23 TLA 2,849 12.22 89.99 KTAL 5,144 10.85 3
Slide 28: Ranking - Agent 1Q13
Ranking - Agent 1Q 13 First Year Premium Total Premium Company MB Share (% ) % YoY Company MB Share (% ) % YoY AIA 4,853 40.43 17.74 AIA 23,521 43.22 4.97 TLI 2,086 17.38 (4.01) TLI 10,371 19.06 2.62 KTAL 965 8.04 20.98 MTL 3,335 6.13 17.60 MTL 888 7.40 16.51 KTAL 3,268 6.01 27.22 OLIC 824 6.87 (36.
Slide 29: Ranking - Credit Life (SP) 1Q13
Ranking - Credit Life (SP) 1Q13 1Q2013 4Q2012 Company MB Share (% ) % YoY % FYP Company MB Share (% ) % YoY % FYP SCBLife 2,085 25.18 47.85 50.05 SCBLife 1,694 21.35 44.19 23.15 AIA 1,723 20.80 95.70 25.33 AIA 1,154 14.55 45.12 16.96 TLA 846 10.21 42.15 29.19 TLA 988 12.45 137.01 26.47 MTL 825 9.96
Slide 30: Market Penetration - Thailand & Regional
Market Penetration - Thailand & Regional Thailand Source: The Thai Life Assurance Association , Dept. of Provincial Administration, Bureau of Saving and Investment Policy Number of Policy per Population (%) Premium per GDP (%) Regional 2011 Source: Swiss Re, sigma No. 3/2012 Premium per capita (US$)
Slide 31: Market Penetration - Thailand
Market Penetration - Thailand Sum insured per GDP (%) Sum insured per Population (Bht) Sum insured per Household (Bht) 31 Note : * Sum Assured (Inforced) as of Feb 2013 Source: The Thai Life Assurance Association , Dept. of Provincial Administration, Bureau of Saving and Investment Policy
Slide 32: 2012 Embedded Value & Value of New Business
2012 Embedded Value & Value of New Business Reviewed By Ernst & Young Co., Ltd.
Slide 33: Embedded Value & Value of One year New Business
Embedded Value & Value of One year New Business Unit : MB 2012 2011 (%)+- Embedded value 30,610 25,406 +20% EV / Share (Baht) 25.40 21.17 Value of one year's new business 1,910 1,605 +19% Value of one year's new business / Share (Baht) 1.59 1.34 Remark : Risk discount rate 10% , Return on Investment
Slide 34: Q&A
BANGKOKLIFE ASSURANCE Q&A
Slide 35: Thank You
® NsvinwUs:nuisdc1 BonAGAswawwinns Thank You
Bangkok Life Assurance — Q1 2013 Earnings Presentation on 6ix