Storebrand Asa · OSL:STB
Storebrand Asa — SEB Nordic Conference (2024)
33 slides from Storebrand Asa's conference presentation, 2024
Slide 1: Storebrand ASA - Leading the way in sustainable value creation
Storebrand ASA Leading the way in sustainable value creation SEB Nordic Conference Lars Løddesøl CFO, Executive Vice President
Slide 2: 258 years of pioneering the Nordic financial industry
258 years of pioneering the Nordic financial industry Future Storebrand is a capital light business with material group synergies Future Storebrand ILLUSTRATIVE Retail Asset Management Unit Linked Pensions and Savings Guaranteed Pensions 1767 1847 1861 1917 1995 2025 Foundation: P&C Pioneered Pionee
Slide 3: A Nordic Savings and Insurance group
A Nordic Savings and Insurance group 55,000 Pensions & savings Asset management Corporate Market leader World leader in sustainability customers NOK 743bn AuM1 NOK 1,347bn AuM 2,200,000 Individuals Retail banking Insurance Fast growing challenger Fast growing challenger NOK 85bn lending NOK 8.6bn pr
Slide 4: Pursuing our Group Strategy
Pursuing our Group Strategy Leading The Way In Sustainable Value Creation to be a leading Sustainable Nordic Savings and Insurance Group A B C Future Storebrand Growth focus in Leading Provider Nordic Powerhouse in Growing Challenger in capital-light business Occupational Pensions Asset Management N
Slide 5: Double digit growth continues across the Group
Double digit growth continues across the Group Unit linked (defined contribution) pensions Asset management UL reserves (NOK billion) YOY AuM (NOK billion) YOY 27%2 19%2 +13%1 +18%1 449 1 347 380 1 097 1 020 1 212 308 315 962 268 721 707 831 220 577 140 168 179 2016 2017 2018 2019 2020 2021 2022 202
Slide 6: Accelerating growth drives strong earnings momentum across the group
Accelerating growth drives strong earnings momentum across the group Group result1 development by quarter (mNOK) Group result1 up by 41% • Structural growth • Cost control • Favourable financial market developments 1 507 +41% Operating profit up by 36% 1 2023 563 • Strong volume growth 1 070 1 082 •
Slide 7: Strong earnings momentum despite industry wide insurance challenges
Strong earnings momentum despite industry wide insurance challenges Group result1 development by segment (mNOK) Result ambition of NOK 5bn Other Guaranteed announced on CMD 2023 Insurance Savings • Good progress towards the outlined ambitions 5 000 • Strong development in Savings (Unit +29 % 4 519 L
Slide 8: Consistent group capital management and dividend policy
Consistent group capital management and dividend policy Capital management and dividend policy 190% ▪ Intention to return excess capital through share buybacks when Q3 2024 the solvency ratio is above 175% 175% ▪ Ambition is to pay nominally growing dividends per share Solvency II ratio ▪ Maintain i
Slide 9: Strong and robust solvency position
Strong and robust solvency position Storebrand Group Solvency position 1 Estimated sensitivities Target SII margin 150% 191 % 190 % SII-margin Q3 190 Interest rates -50bp 186 Interest Q2 2024 Q3 2024 rates +50bp 193 Key takeaways Q3 2024 Equity -25%, SA -14p.p. 198 ▪ Strong cash earnings in addition
Slide 10: History of growing capital distribution and strong commitments for the future
History of growing capital distribution and strong commitments for the future Dividends per share 1 Share buybacks NOK per share NOK billion Ambition announced on Capital Markets Day 2023 12 +15% 4.10 3.70 3.50 3.25 3.00 2.50 3.5 1.55 1.5 1.5 0.5 2016 2017 2018 2019 2 2020 2021 2022 2023 2022 2023 2
Slide 11: Earnings per share growth strengthened by ongoing buybacks
Earnings per share growth strengthened by ongoing buybacks ILLUSTRATIVE Earnings ambition Share buybacks Earnings per share (EPS) Shares outstanding1 adjusted for own shares Result before tax and amortisation (NOK million) Result before tax and amortisation (NOK per share) (million, opening balance)
Slide 12: Higher return on equity as the business transforms to a capital light Nordic savings and insurance group
Higher return on equity as the business transforms to a capital light Nordic savings and insurance group Future Run-off Total Storebrand Business ILLUSTRATIVE Savings & Insurance Guaranteed 2 Group Cash result 1 2,595 1,630 4,225 (NOK million) IFRS shareholder equity 7.0 20.3 27.3 (NOK billion) Retu
Slide 13: Leading the way in sustainable value creation
Leading the way in sustainable value creation Group financial ambitions Group sustainability ambitions 5 NOK billion >14% Net-zero investments Workforce participation Group profit 2025 Return on Equity Group-level by 2050 Reduce disability NOK Increasing every year 1.5 billion per year 50/50 Science
Slide 14: Invest in the future
CXS) Storebrand Invest in the future
Slide 15: Appendix
@&S Storebrand
Slide 16: Key Figures
Group Key Figures Strong improvement in operating and financial result, solid solvency position Result development 1 Earnings per share 2, 6 Financial items and risk result life 4.59 Special items Cash equivalent earnings from operations 2,249 3.12 384 1,507 2.14 2.09 1,070 1,082 STB 1,047 1.73 728
Slide 17: Storebrand Group | Profit
Group Storebrand Group | Profit Record strong operating profit amid double-digit growth, continued cost control and gradually improving insurance results Profit 1 Q3 Year to date Full year NOK million 2024 2023 2024 2023 2023 Fee and administration income 1 971 1 768 5 677 5 043 6 782 Insurance resu
Slide 18: Storebrand Group | Profit by line of business
Group Storebrand Group | Profit Profit by line of business Profit 1 Q3 Year to date Full year NOK million 2024 2023 2024 2023 2023 Fee and administration income 1 971 1 768 5 677 5 043 6 782 Insurance result 483 318 1 246 1 057 1 122 Operational cost -1 509 -1 394 -4 472 -4 245 -5 787 Cash equivalen
Slide 19: Savings (non-guaranteed)
Savings Savings (non-guaranteed) Strong earnings development across all business lines Profit Q3 Year to date Full year NOK million 2024 2023 2024 2023 2023 Fee and administration income 1 660 1 420 4 721 4 056 5 443 Operational cost -948 -852 -2 818 -2 611 -3 582 Cash equivalent earnings from opera
Slide 20: Savings (non-guaranteed) Key figures
Savings Savings (non-guaranteed) Key figures Reserves and premiums Unit Linked Retail bank balance and net interest margin (%) Unit Linked Reserves Unit Linked Premiums Life insurance balance sheet Bank balance sheet Interest margin 7.5 7.7 7.6 7.1 7.2 1.46% 1.44% 1.52% 1.60% 1.60% 449 77 79 82 85 4
Slide 21: Insurance
Insurance Insurance Gradual profitability improvement from repricing measures Profit Q3 Year to date Full year NOK million 2024 2023 2024 2023 2023 Insurance premiums f.o.a. 2 044 1 734 5 874 5 132 6 908 Claims f.o.a. -1 561 -1 415 -4 628 -4 075 -5 787 Operational cost -351 -305 -1 014 -923 -1 251 C
Slide 22: Insurance Key figures
Insurance Insurance Key figures Reserves and premiums Unit Linked Key takeaways combined ratio and results Claims ratio Cost ratio Combined ratio 115% ▪ 94% overall combined ratio in the quarter, improving results in 99% 98% 97% 94% P&C despite continued high claims inflation ▪ Gradual profitability
Slide 23: Guaranteed pension
Guaranteed Guaranteed pension Increased results driven by higher profit sharing Profit Q3 Year to date Full year NOK million 2024 2023 2024 2023 2023 Fee and administration income 385 413 1 163 1 179 1 600 Operational cost -223 -209 -649 -617 -822 Cash equivalent earnings from operations 162 204 514
Slide 24: Guaranteed pension Key figures
Guaranteed Guaranteed pension Key figures Reserves guaranteed products Key Takeaways ▪ Continued improvement in profit-sharing result from both Customer buffers Actively sold Run-off Sweden and Norway 278 284 285 288 294 23 26 29 29 31 ▪ Somewhat lower income level within paid-up polices in the 29 3
Slide 25: Other
Other Other 1 Strong financial result, neutral profit contribution from Lysaker Park Profit Q3 Year to date Full year NOK million 2024 2023 2024 2023 2023 Fee and administration income 4 5 15 17 18 Operational cost -65 -99 -212 -302 -411 Cash equivalent earnings from operations -61 -93 -197 -285 -39
Slide 26: Solvency movement from Q2 2024 to Q3 2024
Solvency movement from Q2 2024 to Q3 2024 Storebrand Group 4% 3% 191 % 190 %1 3% 2% 5% 5% 3% 2024 Q2 Model & Growth in Market Interest rates Updated Cash Dividend 2024 Q3 assumption unit-linked returns & and currency regulatory earnings changes and retail business mix effects VA & SA banking 26 1. A
Slide 27: Real estate portfolio – Norway
Real estate portfolio – Norway Allocation and distribution - real estate portfolio Fair value adjustments and change in rental income Other Hotel Unit Linked Guaranteed Fair value adjustments by year Change in rental income Logistics 2% 29 bn NOK 5% 4% 10% 8 Retail 7% 21% 4% 4% 5% 4% 2% 2% 3% 1% 21
Slide 28: Real estate portfolio - Sweden
Real estate portfolio - Sweden Allocation and distribution - real estate portfolio Fair value adjustments and change in rental income Guaranteed Office Fair value adjustments by year Change in rental income Public Use 11 bn SEK 15% 10% 21% 7% 5% 3% 2% 3% 21% Supermarket 1% 1% 16% Hotel 2% -1% 0% 26%
Slide 29: Asset allocation – Guaranteed products
Asset allocation – Guaranteed products Storebrand Livsforsikring AS (Norway) SPP (Sweden) 70% 70% 60% 60% 50% 50% 40% 40% 30% 30% 20% 20% 10% 10% 0% 0% Bonds & Bonds at Bonds & Real Equities Money Loans amortised Equities Real estate Money Loans estate market cost market 30.09.2023 6% 11% 9% 14% 60%
Slide 30: Overview of Special items
Overview of Special items Quarter Special Comments items NOKm Q3 2023 - 44 • NOK ~44m related to the integration cost and severance pay in Danica and Kron Q4 2023 - 81 • NOK ~55m related to the integration cost and severance pay in Danica and Kron • NOK ~10m related to liquidation of branches in Ass
Slide 31: Important information
Important information This document may contain forward-looking statements. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances that may be beyond the Storebrand Group’s control. As a result, the Storebrand Group’s actual fu
Slide 32: For further information
For further information Contact us Information Lars Aa Løddesøl lars.loddesol@storebrand.no Group CFO +47 9348 0151 Kjetil R. Krøkje kjetil.r.krokje@storebrand.no Group Head of +47 9341 2155 Finance & Strategy Investor relations website Financial reports and information Johannes Narum johannes.narum
Slide 33: Thank you
Thank you Financial calendar 12 February 2025 Results Q4 2024 17 March 2025 Annual Report 2024 9 April 2025 Annual General Meeting 7 May 2025 Results Q1 2025 11 July 2025 Results Q2 2025 22 October 2025 Results Q3 2025 33