19 slides from Munchener Ruckversicherungs-gesellschaft's earnings presentation, May 9, 2017
Slide 1: Quarterly statement as at 31 March 2017
http://www.presentationworks.de Image: Getty Images/fStop Quarterly statement as at 31 March 2017 9 May 2017 Jörg Schneider
Slide 2: Agenda
Agenda 2 12 1 Munich Re (Group) 3 Reinsurance 8 17 2 ERGO 4 Outlook Quarterly statement as at 31 March 2017 2
Slide 3: Munich Re (Group) – Financial highlights Q1 2017
Munich Re (Group) – Financial highlights Q1 2017 Q1 result in line with expectations – Well on track to achieve annual targets Munich Re (Group) Q1 2017 (Q1 2016) Net result Technical result €m Investment result €m Net result €m €557m (€436m) 945 Good underwriting performance, 2,151 strong investmen
Slide 4: Munich Re (Group) – Capitalisation
Munich Re (Group) – Capitalisation IFRS capital position Equity €m Capitalisation €bn Equity 31.12.2016 31,785 0.4 0.4 0.4 0.4 0.4 Consolidated result 557 4.2 0.3 4.4 4.2 2.8 Changes 4.4 Dividend – 4.4 Unrealised gains/losses 221 Exchange rates –101 Share buy-backs –326 Other 23 15.3 Equity 31.3.201
Slide 5: Munich Re (Group) – Investment portfolio
Munich Re (Group) – Investment portfolio Investment portfolio Investment portfolio1 % Portfolio management in Q1 Land and buildings Fixed-interest securities Ongoing geographic diversification 2.9 (2.9) 55.9 (56.3) Slight decrease in corporate bonds Slight increase in net equity exposure to 5.
Slide 6: Munich Re (Group) – Investment result
Munich Re (Group) – Investment result Investment result Investment result (€m) Q1 2017 Return1 Q1 2016 Return1 Regular income 1,634 2.8% 1,628 2.8% Write-ups/write-downs –26 –0.0% –219 –0.4% Disposal gains/losses 1,048 1.8% 218 0.4% Derivatives2 –362 –0.6% 74 0.1% Other income/expenses –143 –0.2% –1
Slide 7: First-time publication SFCR reports: Solvency II ratio
Munich Re (Group) – First-time publication SFCR reports Solvency-II ratio as at 31.12.2016 well above target capitalisation SII ratio continuously in a very comfortable range1 SII ratio of Munich Re (Group) and solo Entities3 >220%: Above target capitalisation S-II Ratio S-II Ratio % (without LTG) (
Slide 8: ERGO
ERGO Quarterly statement as at 31 March 2017 8
Slide 9: ERGO Q1 2017 vs. Q1 2016
ERGO ERGO Q1 2017 vs. Q1 2016 Gross premiums written €m Major result drivers €m Q1 2016 4,887 Q1 2017 Q1 2016 Technical result 162 126 36 Foreign exchange –9 Non-technical result 107 81 26 Divestments/investments –31 thereof investment result 1,459 1,391 68 Organic change 33 Other –178 –219 41 Q1
Slide 10: ERGO Property-casualty Germany
ERGO ERGO Property-casualty Germany Combined ratio % Gross premiums written €m Loss ratio Expense ratio Other Motor 115 345 2015 97.9 64.7 33.2 2016 97.0 61.9 35.1 Legal protection 119 Q1 2017 99.1 63.3 35.8 TOTAL 103.9 €1,240m 100.0 Fire/property 98.6 99.1 239 96.1 93.4 96.1 93.3 Liability Pers
Slide 11: ERGO International – Property-casualty, including Health
ERGO ERGO International – Property-casualty, including Health Combined ratio % Gross premiums written €m Loss ratio Expense ratio Other Poland 281 279 2015 104.7 65.3 39.4 Turkey TOTAL Spain 2016 98.0 51 €1,092m 232 64.9 33.1 Greece Legal protection 74 175 Q1 2017 96.3 65.3 31.0 Combined ratio Q
Slide 12: Reinsurance
Reinsurance Quarterly statement as at 31 March 2017 12
Slide 13: Reinsurance Life and Health
Reinsurance Reinsurance Life and Health Q1 2017 vs. Q1 2016 Gross premiums written €m Major result drivers €m Q1 2016 3,096 Q1 2017 Q1 2016 Technical result 145 63 81 Foreign exchange 151 Non-technical result 48 –61 109 Divestments/investments 0 thereof investment result 221 80 141 Organic change
Slide 14: Reinsurance Property-casualty
Reinsurance Reinsurance Property-casualty Q1 2017 vs. Q1 2016 Gross premiums written €m Major result drivers €m Q1 2016 4,528 Q1 2017 Q1 2016 Technical result 387 755 –368 Foreign exchange 68 Non-technical result 104 –238 342 Divestments/investments 0 thereof investment result 470 101 369 Organic
Slide 15: Reinsurance Combined ratio
Reinsurance Combined ratio Combined ratio % Basic losses Major losses Expense ratio 101.9 2015 89.7 50.8 6.2 32.6 99.8 2016 95.7 54.2 9.1 32.4 94.5 93.3 97.1 Q1 2017 97.1 55.1 9.6 32.4 92.5 88.4 Major Reserve Normalised losses Nat cat Man-made releases1 combined ratio2 78.6 Q1 2017 9.6 3.7 5.9
Slide 16: Reinsurance – April renewals 2017
Reinsurance – April renewals 2017 Cycle-management measures lower top line – Slowing of price declines confirmed once again April renewals 2017 % 100 –13.6 86.4 –5.7 10.1 90.8 Active portfolio management measures only partly €m 1,670 –226 1,444 –96 +169 1,517 compensated for by new Change in premi
Slide 17: Outlook
Outlook Quarterly statement as at 31 March 2017 17
Slide 18: Unchanged outlook 2017
Unchanged outlook 2017 Group Reinsurance ERGO Gross premiums written Gross premiums written Gross premiums written €48–50bn €31–33bn €17–17.5bn Net result Net result Net result €2.0–2.4bn €1.8–2.2bn €150–200m Return on investment Combined ratio1 Combined ratio ~3% ~97% ~99% ~98% Germany Internationa
Slide 19: Disclaimer
Disclaimer This presentation contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the a