Nn Group N.v. · EURONEXT:NN
Nn — Nn Group Nv Ord — 1H25 Earnings Presentation
32 slides from Nn's earnings presentation, Aug 7, 2025
Slide 1: NN Group 1H25 Results
NN Group 1H25 Results Strong results, continued growth and commercial momentum 8 August 2025
Slide 2: A strong first step towards CMD targets
A strong first step towards CMD targets David Knibbe, CEO NN Group
Slide 3: Key takeaways
Key takeaways Attractive investor proposition with continuously compounding returns for shareholders Pro-forma1 NN Group Solvency II ratio of 205% above 150-200% comfort zone (NL Life: 200%) Strong start towards delivery on new targets with 1H25 OCG EUR >1.0bn Commercial success in growth segments E
Slide 4: Proud to engage customers, attract talented people and make a positive contribution to society
Proud to engage customers, attract talented people and make a positive contribution to society… Engaged customers Talented people Contribution to society Reduce GHG5 On track On track On track Above market Above benchmark emissions portfolio 31% average NPS-r1 Above Employee engagement Above by 45%
Slide 5: Attractive investor proposition
…whilst offering an attractive investor proposition… Resilient balance sheet Strong business performance Attractive capital return Group Solvency II ratio Future Ready programme Dividend per share 205%1 (30 June 2025) • Improving competitiveness and adaptability EUR 1.38 (1H25 interim dividend) NN L
Slide 6: With continuously compounding returns
…with continuously compounding returns EUR 10bn returned to shareholders since IPO 2014 Dividend per share Accumulated payout to shareholders1,2 (EURbn) 3.44 ~15 3.20 3.44 2.79 3.20 2.79 2.16 2.49 10 2.08 2.33 2.16 1.79 1.90 1.66 1.51 1.55 1.28 1.38 1.00 1.12 0.57 2014 2016 2018 2020 2022 2024 2026E
Slide 7: Ambitious financial targets for 2028 set at CMD
Ambitious financial targets for 2028 set at CMD Upgraded 2025 target 2028 target2 Per share Financial Operating capital generation EUR 1.9bn EUR 2.2bn CAGR3 7-8% targets Per share NN Group Free cash flow EUR 1.6bn EUR >1.8bn CAGR3 7-8% Netherlands Life EUR 1,150m EUR 1,100m Netherlands Non-life EUR
Slide 8: Commercial success for the European business
Commercial success for the European business… Further commercial growth... ...adding to business scale • Focus on high margin, capital VNB (EURm) OCG (EURm) light protection products, via multichannel distribution 254 461 219 422 network • 11% VNB growth stemming from strong sales and increased prof
Slide 9: Profitable growth in Netherlands Non-life
…profitable growth in Netherlands Non-life… 6% growth in GWP… …supporting solid capital • Selective premium growth, GWP (EURbn) generation focussing on attractive market OCG (EURm) segments 3.8 4.0 416 406 • On track to exceed OCG run rate of ~EUR 400m, reflecting benign weather • Strong combined ra
Slide 10: Start of sales recovery in Japan
…and the start of sales recovery in Japan Reporting under the business …with strong sales recovery • Value of new business increased improvement order no longer following long-term savings by 25% in 1H25 required… product launch • Strong pick-up driven by launch VNB (EURm) VNB (EURm) +25% of new lon
Slide 11: Continuing strong financial performance
Continuing strong financial performance Annemiek van Melick, CFO NN Group
Slide 12: Continuing strong financial performance
Continuing strong financial performance First step towards delivery on 2028 ...while maintaining a strong …and delivering attractive capital OCG and FCF targets... balance sheet and cash position... distributions to shareholders Operating capital generation (EURm) Solvency II ratio (in %) Dividend p
Slide 13: Strong capital progression, above our 150-200% comfort zone
Strong capital progression, above our 150-200% comfort zone 12% 5% 3% • 1H25 operating capital generation of EUR 1,020m Solvency ratio 194% 213% 205%3 adds 12%-points to the solvency ratio -8% • Positive markets impact, driven mainly by movements in interest rates and spreads on 1.0 0.2 0.3 18.5 17.
Slide 14: Strong OCG delivery flattered by experience
Strong OCG delivery flattered by experience OCG1 by segment (EURm) 1H25 1H24 Delta OCG up 6% versus 1H24, amid favourable experience Netherlands Life 595 536 11% • OCG at Netherlands Life increased, due to favourable experience variance and higher investment returns, supported by updated assumptions
Slide 15: 2% organic CSM growth, benefitting from sales recovery in Japan
2% organic CSM growth, already benefitting from sales recovery in Japan Operating result (EURm) 1H25 1H24 • Netherlands Life: higher investment result Netherlands Life 829 670 • Netherlands Non-life: both periods benefitted from benign weather, but Netherlands Non-life 231 205 1H24 was impacted by l
Slide 16: On track to deliver EUR 1.6bn free cash flow in 2025
On track to deliver EUR 1.6bn free cash flow in 2025 Movement in holding company cash capital (EURm) • Free cash flow came in at EUR 863m, 4% lower than the EUR 899m in 1H24 Free Cash Flow: EUR 863m • Free cashflow in 1H25 impacted by EUR 25m -7 of future ready investments in ‘Other’ -185 21 -35 • R
Slide 17: Wrap up
Wrap up
Slide 18: Key takeaways
Key takeaways Attractive investor proposition with continuously compounding returns for shareholders Pro-forma1 NN Group Solvency II ratio of 205% above 150-200% comfort zone (NL Life: 200%) Strong start towards delivery on new targets with 1H25 OCG EUR >1.0bn Commercial success in growth segments E
Slide 19: Appendices
Appendices
Slide 20: Solvency sensitivities
Solvency sensitivities Solvency ratio sensitivities to market shocks on 30 June 20251 Δ EOF Δ SCR Δ SII ratio (EURbn) (EURbn) (%-points) Interest rate: Parallel shock +50bps -0.2 -0.2 +1% Interest rate: Parallel shock -50bps +0.3 +0.2 -2% Interest rate: 10bps steepening between 20y–30y -0.1 -0.0 -1%
Slide 21: Operating capital generation by source
Operating capital generation by source OCG1 by source (EURm) 1H25 1H24 Investment return 697 670 Life – UFR drag -94 -79 Life – Risk margin release 99 114 Life – Experience variance 31 -12 Life – New business 136 114 Non-life underwriting 102 93 Own Funds generation – SII entities 970 901 Non-Solven
Slide 22: Remittances from subsidiaries
Remittances from subsidiaries Remittances from subsidiaries (EURm) 1H25 1H24 FY24 FY23 Netherlands Life1 531 529 1,061 1,059 Netherlands Non-life1 140 164 329 335 Insurance Europe1,2 231 161 226 3703 Japan Life 63 63 63 68 Banking1 90 60 85 21 Reinsurance business - 60 110 - Other - - 3 1 Total 1,05
Slide 23: Strong balance sheet and high-quality investment portfolio
Strong balance sheet and high-quality investment portfolio Eligible Own Funds and SII Financial leverage ratio High-quality and conservative (30 June 2025) headroom (30 June 2025, EURbn) investment portfolio2 Unrestricted (30 June 2025) Fixed income Tier 1 10.6 17.9% 5% Real estate Restricted RT1 he
Slide 24: Well protected against market related volatility
Well protected against market related volatility Reduced market sensitivities1,… …sound characteristics in the …and a very safe Dutch mortgage corporate/financials portfolio… portfolio 30 June 31 Dec Corporates and financials (EUR 30bn, 30 June 2025) (bps) Delta 2025 2024 40 Equity: -7% -9% 2% Ratin
Slide 25: Investment portfolio
Investment portfolio Investment portfolio (NN 30 June 31 Dec % of Total investment exposure decreased mainly due to a Change Group excl banking)1 (EURbn) 2025 2024 total decrease in the fixed income portfolio Fixed income (excl. mortgages2) 71.7 73.6 -1.9 54% • Fixed income portfolio decreased, main
Slide 26: Details of fixed income portfolio
Details of fixed income portfolio 30 June 31 Dec % of Government bonds and loans by country Fixed income1 (EURbn) 2025 2024 Change total (28% of investment portfolio, 30 June 2025) Government2 37.7 39.3 -1.6 28% 10% France Germany Austria Corporates2 22.6 23.3 -0.7 17% 27% 10% Belgium EU3 Japan EUR
Slide 27: Well-diversified and high-quality real estate portfolio
Well-diversified and high-quality real estate portfolio Real estate exposure by segment1 Occupancy rate by segment • Actively managed portfolio; well- (9% of investment portfolio, 30 June 2025) (30 June upper line versus 31 December 2024) diversified across segments, geographies and investment types
Slide 28: Well-collateralised Dutch mortgage portfolio
Well-collateralised Dutch mortgage portfolio 30 June 31 Dec % of • Very comfortable average loan to • NN Group mortgage portfolio Mortgages1 (EURbn) 2025 2024 total value of ~501%, with the vast majority experienced very limited losses NHG and other guaranteed2 7.9 8.1 24% reflecting LTV <80% <10bps
Slide 29: Details of equity and mutual funds
Details of equity and mutual funds Equity exposure including equity mutual funds 30 June 31 Dec % of Mutual funds1 (EURbn) 2025 2024 Change total (3% of investment portfolio, 30 June 2025) Equity funds 1.9 1.9 0.0 2% Direct Public equity Fixed income funds 2.3 2.2 0.1 2% 41% EUR Direct Private equit
Slide 30: Sustainable CSM growth expected
Sustainable CSM growth expected Netherlands Netherlands Insurance Contractual Service Margin (EURm) NN Group Life Non-life Europe Japan Life Other Opening balance CSM, net (31 Dec 2024) 7,231 3,697 518 2,101 907 8 New business added 464 97 102 207 62 -4 Underlying return on in-force 89 3 5 83 4 0 CS
Slide 31: Important legal information
Important legal information NN Group’s Consolidated Annual Accounts are prepared in accordance with International Financial Reporting Standards as adopted by the European Union (“IFRS-EU”) and with Part 9 of Book 2 of the Dutch Civil Code. In preparing the financial information in this document, the
Slide 32: Slide 32