Allianz Malaysia Bhd. · MYX:ALLIANZ

Allianz Malaysia Bhd — Q4 2017 Earnings Presentation

26 slides from Allianz Malaysia Bhd's earnings presentation, Feb 26, 2018

  1. Slide 1: Allianz Malaysia Berhad Financial Results 4Q 2017 Analyst Briefing

    Allianz Malaysia Berhad (12428-W) Financial Results 4Q 2017 Analyst Briefing 26 February 2018

  2. Slide 2: AMB Group Results

    Allianz @i) AMB Group Results

  3. Slide 3: Maintain Growth

    Allianz Malaysia Berhad (12428-W) Maintain Growth Operating revenue  Group operating revenue of RM4.80 billion, an increase of 2.6% as compared to corresponding period of RM4.68 billion due to higher gross earned premiums and investment income by RM50.9 million and RM71.6 million respectively.  Ge

  4. Slide 4: Financial Highlights 12M 2017: Group Operating Revenue

    Allianz Malaysia Berhad (12428-W) Financial Highlights 12M 2017 Group Operating Revenue (RM’mil) General Business (RM’mil) +2.6% +0.5% 2,242.7 2,254.0 12M 2016 12M 2017 4,678.5 4,801.0 Life Business (RM’mil) +4.5% 2,422.7 2,532.8 12M 2016 12M 2017 12M 2016 12M 2017 4

  5. Slide 5: Financial Highlights 12M 2017: Group Gross Written Premiums

    Allianz Malaysia Berhad (12428-W) Financial Highlights 12M 2017 Group Gross Written Premiums (“GWP”) (RM’mil) General Business (RM’mil) +2.5% +2.5% 2,082.9 2,135.8 12M 2016 12M 2017 4,285.4 4,182.6 Life Business (RM’mil) +2.4% 2,099.7 2,149.6 12M 2016 12M 2017 12M 2016 12M 2017 5

  6. Slide 6: Financial Highlights 12M 2017: Group Profit Before Tax

    Allianz Malaysia Berhad (12428-W) Financial Highlights 12M 2017 Group Profit Before Tax (RM’mil) PBT Drivers (RM’mil) -3.8% 454.6 437.3 +1.8 -53.6 +34.5 454.6 437.3 PBT General Life Investment PBT 12M 2016 Business Business Holdings 12M 2017 12M 2016 320.5 138.4 (4.3) 454.6 12M 2017 266.9 172.9 (2.5

  7. Slide 7: Financial Overview

    Allianz Malaysia Berhad (12428-W) Financial Overview 3 YEAR RM’mil 2014 2015 2016 2017 CAGR Gross Written Premiums 3,968.1 4,132.7 4,182.6 4,285.4 2.6% Management Expenses 436.0 464.8 513.2 603.8 11.5% Expense Ratio (Non Life) 17.3% 16.9% 17.4% 20.3% (3.0) pts Expense Ratio (Life)1 10.3% 9.9% 11.3%

  8. Slide 8: Summary of audited Financial Results

    Allianz Malaysia Berhad (12428-W) Summary of audited Financial Results RM’mil 12M 2016 12M 2017 17/16 % Operating revenue 4,678.5 4,801.0 2.6% Gross earned premiums 4,182.8 4,233.7 1.2% Premiums ceded to reinsurers (492.3) (305.4) 38.0% Net earned premiums (“NEP”) 3,690.5 3,928.3 6.4% Net change in

  9. Slide 9: General Business

    Allianz @i) * ——_— — - All } \ General Business

  10. Slide 10: General Business

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business Gross written premiums  Gross written premium growth by 2.5% as compared to prior year. Combined ratio  Higher combined ratio due to higher expense ratio (exceptional impairment of insurance receivables). ✔ Net investm

  11. Slide 11: General Business: GWP is 2.5% above prior year

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: GWP is 2.5% above prior year Gross Written Premiums (RM’mil) +2.5% Distribution Channel & Portfolio Mix Telemarketing 2,135.8 2.5% 2,082.9 Agent 59.2% Motor 61.2% Broker 11.8% 547.0 528.4 561.0 540.1 550.9524.6 Banca 46

  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) +7.8% Portfolio Mix and Investment Yield (Annualized) Portfolio Mix Investment Yield 167.7 Deposit Property 155.6 9.0% 0.4% 0.8 0

  13. Slide 13: General Business: Lower PBT due to lower underwriting profit

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Lower PBT due to lower underwriting profit Profit Before Tax (RM’mil) -16.7% PBT Drivers (RM’mil) 320.5 (65.3) 320.5 8.9 2.8 266.9 266.9 90.0 82.7 73.9 73.9 73.5 75.3 67.4 PBT UW Investment Others PBT 50.7 12M 2016 resu

  14. Slide 14: General Business: Lower underwriting profit as compared to prior year

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Lower underwriting profit as compared to prior year Comments Underwriting Result Drivers (RM’mil) Comments (3.0)  Malaysian Motor Insurance Pool - Release of 166.9 (38.8) MMIP claims reserve in 2016 which is non- recur

  15. Slide 15: General Business: Higher Combined ratio due to higher Expense ratio

    Allianz General Insurance Company (Malaysia) Berhad (735426-V) General Business: Higher Combined ratio due to higher Expense ratio Combined Ratio -4.1 pts 98.6% 94.6% 89.7% 91.4% 92.0% 90.4% 92.6% 92.0% 94.5% 88.6% 20.2% 18.7% 18.9% 17.4% 20.3% 19.3% 21.4% 20.3% 15.3% 16.8% 65.6% 62.0% 61.1% 62.5% 6

  16. Slide 16: 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 2016 12M 2017 17/16 % Gross written premiums 2,082.9 2,135.8 2.5% Gross earned premiums 2,083.1 2,084.1 0.0% Net earned premiums 1,743.0 1,831.8 5.1% Net change in claim

  17. Slide 17: Life Business

    Allianz @i) Life Business

  18. Slide 18: Life Business

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business Gross written premiums  Gross written premiums grew by 2.4%. Distribution  Strong performance from Agency and Bancassurance.  Agency ANP achieved 6.8% growth. Remain focus on building professional and productive agency force.  Banca

  19. Slide 19: Life Business: Growth in GWP mainly from Agency and Employee benefits channels

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Growth in GWP mainly from Agency and Employee benefits channels Gross Written Premiums (“GWP”) (RM’mil) +2.4% 2,099.7 GWP Mix & Growth (%) (12M 2017) 2,149.6 Mix Single 567.8 555.0 547.5 Premium 525.5 529.5 517.6 16.5% 500.8 505.6 403.

  20. Slide 20: Life Business: Growth in ANP driven by Agency and Bancassurance channels

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Growth in ANP driven by Agency and Bancassurance channels Annualised New Premiums (“ANP”) (RM’mil) ANP Channel Mix (%) +15.3% (12M 2017) 392.5 452.5 127.7 2.3 Corporate 124.1 Alternative 3.8% 2.3 0.4 2.3 Distribution/ 16.3 Bancassuranc

  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 Agency Annualised New Premiums (RM’mil) +6.8% Agency Product Mix (%) (12M 2017) 329.7 352.1 By ANP Traditional 18.9% 109.4 108.7 By Policy Count Traditional 12.2%

  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) +12.8% +18.4% 1,074.2 285.4 907.3 253.0 303.2 90.3 86.0 253.7 248.0 256.1 266.9 210.9 217.1 225.6 61.4 62.5 67.3

  23. Slide 23: Life Business: Higher net investment results and fair value gains

    Allianz Life Insurance Malaysia Berhad (104248-X) Life Business: Higher net investment results and fair value gains Investment Results by Investment Results funds (RM’mil) (RM’mil) 76.9% 76.9% Portfolio Mix and Investment Yield (LF+SHF) (%) (Annualized) 629.7 629.7 Cash Others Investment Yield 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 2016 12M 2017 17/16 % Gross written premiums 2,099.7 2,149.6 2.4% Premiums ceded to reinsurers (152.2) (53.1) 65.1% Net earned premiums 1,947.5 2,096.5 7.7% Net change in benefits and c

  25. Slide 25: Thank You for Your Attention

    Thank You for Your Attention Allianz @)

  26. Slide 26: 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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