Slide 1: Audited results and cash dividend declaration
DISCOVERY AUDITED RESULTS and cash dividend declaration for the year ended 30 June 2019
Slide 2: Group results highlights
Core new business Investment in new Normalised operating Normalised headline businesses profit earnings to R18 299m to R7 747m to R5 035m +14% including DH take-on of new closed schemes and gross Includes allocated finance costs revenue for Vitality Group 2
Slide 3: Tactical imperative to build in a challenging environment
There is a tactical imperative to build in a challenging environment Micro Macro Relevance of model Investment in New Slow growth Slow growth NHI Low interest rates Conservative investment Brexit uncertainty Reduction in H1 Group earnings from large mortality claims 112% 123% 102% Slow growth Low in
Slide 4: Key strategic focus areas for the period
Key strategic focus areas for the period Growth and Based on our deep conviction in Purpose and SV business model, and the tactical imperative of building during difficult times, pursuing organic growth while concurrently prudence de-risking our business, strengthening our capital base and increasin
Slide 5: Growth and prudence
Growth and prudence 5
Slide 6: Core new business
Core new business 12 months 12 months Rm % change to R18 299m to 30 Jun 2019 to 30 Jun 2018 1 6 640 6 573 +1% 18 299 2 312 2 188 +6% ESTABLISHED BUSINESSES 16 137 2 604 2 454 +6% +5% 14 660 1 346 1 107 +22% 13 303 12 320 1 291 1 172 +10% 1 041 1 047 -1% EMERGING BUSINESS 2 922 645 +43% +43% 3 2 518
Slide 7: Normalised operating profit
Normalised operating profit Normalised operating profit 12 months 12 months Rm to 30 Jun 2019 to 30 Jun 2018 % change to R7 747m 3 044 2 777 +10% 3 230 3 551 -9% ESTABLISHED BUSINESSES 7 980 966 885 +9% +3% 7 747 6 860 758 589 +29% 6 261 5 703 578 515 +12% 155 68 +128% EMERGING BUSINESS 161 94 +71%
Slide 8: Reported profit for period
Reported profit for period to R6 533m SoftBank Vision Fund invested US$500m in CMT, which reduced Discovery’s effective Rm 12 months 12 months shareholding to 10% and % change generated US$56.3m profit for ended Jun 2019 ended Jun 2018 Discovery Profit from operations 7 747 7 980 -3% Investment inco
Slide 9: Reconciliation to normalised headline earnings
Reconciliation to normalised headline earnings to R5 035m 12 months ended 12 months ended Jun 2019 Jun 2018 Rm % change Profit attributable to equity holders 6 533 5 652 +16% Dilution gains from equity accounted investments, net tax (666) - Gain on previously held interest in DSY Card business (761)
Slide 10: Group EV
* Including allocated finance costs Group EV Op en in gE and economic changes V 65 624 RoEV, 13.5% excluding forex No VN n- B ec on Un om w ic in ex d pe RD Ec rie R Ec on nc on om om e va ic ic ria m exp nc et er es ho ie do nc Ot lo ev he gy ar rm & ian as ce et ho su m s do pt lo io gy n & ch as
Slide 11: Operating model
Operating model Group profit growth of Growth Cash CPI + 10% Cash Cash ESTABLISHED generated used Tax ~5 years <50% Cash per business Funding spent Investment New Finance of 10% of EMERGING business costs and dividends profit ~5 years New businesses NEW Capital Operating cashflow Net cashflow Capita
Slide 12: Cash management supports growth methodology
Cash management supports growth methodology Net cash flow Cash Funding Cash generated used Debt Tax, dividends and Equity Raise finance costs R3.9bn Cash generated from in-force business New business R14.6bn R8.1bn New businesses R3.6bn Net cash flow1 R1.7bn 12 1 Movement in shareholder free cash
Slide 13: Improving cash generation
Improving cash generation Diversification of cashflow improving Cash conversion above target Cash cover on target Cash from any one business should not contribute more More than 50% of operating profit must be cash Operating cashflow should be enough to at least cover than 50% of the total operating
Slide 14: De-risking the balance sheet
De-risking the balance sheet Strongly capitalised FLR is decreasing Cash buffer has grown strongly Statutory capital Rm Cover requirements 29% 28% 28% R17 396m 1.6x 27% 26% R789m 1.7x 25% Cash buffer: R1bn – R2bn 24% R1 777m 1.4x 23% 22% R3 810m 1.5x 21% Jun-17 Dec-17 Jun-18 Dec-18 Jun-19 Dec-17 Jun
Slide 15: Disciplined organic growth
Disciplined organic growth Robust performance Market leader Enable the composite Uniquely positioned Scaling fast Achieving capital requirement Disruptive Disciplined rollout On plan 15
Slide 16: Built brilliant businesses organically
Built brilliant businesses organically Operating profit in 2019 terms Discovery Health Discovery Life Discovery Inv est Vital ityHealth Vital ityLife Vital ity Group Discovery Insure Ping An New Emerging Established ESTABLISHED ~5 years Investment of 10% of EMERGING profit ~5 years NEW 1 2 3 4 5 6 7
Slide 17: Operating profit track record
Operating profit track record ESTABLISHED EMERGING Operating profit in 2019 terms, ZAR million Operating profit in 2019 terms, ZAR million 200 3 500 100 3 000 2 500 0 2 000 -100 1 500 1 000 -200 500 -300 0 -500 -400 1 3 5 7 9 11 13 15 17 19 21 23 25 1 2 3 4 5 6 7 8 9 Years since Inception Years sinc
Slide 18: Emerging businesses are disruptive, growing rapidly and creating value
Emerging businesses are disruptive, growing rapidly and creating value Emerging businesses +128% +89% +71% Profit to R155m to R106m to R161m to R422m +18% +84% +92% Revenue 6.8x Capital invested, ZAR million 12.8x 2x Implied P/E Implied P/E multiple* 14.7x Implied P/E multiple* Implied P/E multiple*
Slide 19: New initiatives are disruptive but disciplined
New initiatives are disruptive but disciplined Weighted average !"#$%"& #039;()*%)+ -). /0*#039;)** Disruptive value proposition ,&"' ,&"' World’s first behavioural bank engaging Discovery Bank clients with a world class app, dynamic interest and market leading rewards Zero product charges on Vitality Fun
Slide 20: Return on equity affected by New businesses
Return on equity affected by New businesses RF + 10% RF + 7.5% Target Established Emerging New Finance costs Equity Dividend Actual raise 20
Slide 21: Evolving the Shared-Value Insurance Model
Evolving the Shared-Value Insurance Model 21
Slide 22: Shared-Value model across health, motor and banking
Institution HEALTH MOTOR BANKING INSURANCE INSURANCE LIFE INSURANCE SAVINGS HEALTH DRIVE MONEY Value Incentive ∆ Behaviour Bent (qx) Value = × × × Member Member Incentive ∆ Behaviour Bent (qx) 22
Slide 23: Better Financial Management
Few key behaviours per industry and they are correlated 4 4 Example | Relative risk of defaulting on credit based on how you manage your money vs. how you manage your health Life & Health risk Lifestyle Chronic Deaths worldwide behaviours conditions Better Health Accident risk 5 Driving 3 Blue Bronz
Slide 24: Case for the composite model
Case for the composite model Multiple funders HEALTH LIFE INVESTMENTS MOTOR BANKING INSURANCE INSURANCE INSURANCE Stacked rewards, complementary behaviour Unassailable competitive advantage Especially D2C due to unique call to action Stacking of rewards 24
Slide 25: Tactical considerations in developing the Composite
Tactical considerations in developing the Composite Behavioural dimensions Integration type Weak form Proprietary stakeholders B S G P Vitality Health HEALTH LIFE SAVINGS MOTOR BANKING INSURANCE INSURANCE INSURANCE status Strong form Vitality Drive status Tenant based P HEALTH LIFE SAVINGS MOTOR BAN
Slide 26: Executing on the four strategic strands
Executing on the four strategic strands 26
Slide 27: Composite models: SA, UK and Partner
SA COMPOSITE MODEL UK COMPOSITE MODEL PARTNER COMPOSITE MODEL Perfect composite model, #1 in every industry, and laboratory for shared value in financial services. A successful entry into banking The best insurer in the UK, making use of a composite Shared-Value model Ping An Health delivers on its
Slide 28: SA, UK and Partner Composite performance
Operating profit New business -3% +13% +10% +1% Continued strong performance. Navigating NHI. SA Composite -9% +6% Reduced claims in H2. Responding to a complex environment. +9% +6% Robust performance. Performance in a weak market. +128% -1% Strong quality of business. Profit emergence while scaling
Slide 29: Discovery Health
Discovery Health
Slide 30: Discovery Health new business, membership and profit
Core new business API Membership Normalised operating profit Rm Rm to R6 640m under administration to R3 044m excl. take-on of new closed schemes 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2015 2016 2017 2018
Slide 31: Growth despite declining market
Growth despite declining Value and competitive Membership market advantage Security and stability Net growth in beneficiaries, 2018 Market share1 Solvency as at Sep 2018 50 000 Lower average premiums in the 40 000 scheme market 30 000 20 000 Reserves 10 000 0 DHMS administration expenditure as % of
Slide 32: Utilisation of services is the biggest driver of medical inflation
Utilisation of services is the biggest driver of medical inflation Components of medical inflation Demand-side inflation 14% 1 2 Ageing medical scheme Higher incidence of high risk members 12% 19 Average: Average age 35 34 Growth in 12 14 8 of beneficiary 33 exposure YTD 10% 3.3% 32 31 (%) Dialysis
Slide 33: Section 33: Role of medical schemes
Section 33 Role of medical schemes Once National Health Insurance has been fully implemented as determined by the Minister through regulations in the Gazette, medical schemes may only offer complementary cover to services not reimbursable by the Fund. 33
Slide 34: Discovery supports NHI principles, believes in private medical schemes
Discovery supports the principles of the NHI, but strongly believes in the role of private medical schemes Significant inequality in Implied tax increase to fund access and quality of care Total health expenditure p.a. medical scheme contributions Result is not optimal Healthcare spend per capita, p
Slide 35: 35
35
Slide 36: Discovery Life and Invest results
Core new business API Market share Normalised operating profit Embedded value to R2 312m of retail affluent market to R3 230m to R33bn Life and Invest 31% 25% 21% 15% 2016 2019 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Discovery Insurer A Insurer B Insurer C Insurer
Slide 37: FY19 performance strong during challenging environment
FY19 performance strong during challenging environment Large claims volatility addressed through Significant improvement in H2 experience variances reinsurance Analysis of change in Embedded value, R million Individual Life total claims net of reinsurance AvE H2 H2 -40 +200 123% H1 H1 -457 -422 113%
Slide 38: Our model creates different actuarial dynamics
Our model creates substantially different actuarial dynamics Relying on traditional underwriting is Dynamic pricing through the Shared-Value not optimal Model Increased new business Premium Lapse effect Underwrite Initial selection of healthier lives Flat market premium at inception Sales & Flat mar
Slide 39: The dynamics of the model in practice
The dynamics of the model in practice Growing Market Share Positive Upfront Selection Improving Mortality by Engagement Positive Selective lapses Sales x Selection x Mortality x Lapses Proportion of healthy lives at Mortality study by Selective lapses1 i.e. Market share Correlation with status under
Slide 40: Status mix per cohort changes, increasing DMT over time
Status mix per cohort changes, leading to an increasing DMT over time Decreasing lapses by status implies a Increasing Discounted Mean Term Resulting in an increasing changing status composition (DMT) by status portfolio DMT over time Cohort status distribution by policy count 2009 vs 2019 14.0 40%
Slide 41: Outputs of the model
Outputs of the model → #$ %$ #$) " &'( Market share and Lower mortality Life expectancy Lapse differential Discounted Mean Term growing (67 for insurance by status (B-D) and increasing over population in SA) traditional policies 41
Slide 42: Financial characteristics of monoline, Shared-Value insurance
Financial characteristics of monoline, Shared-Value insurance 1 2 42
Slide 43: 1. Attributes of cash generation
1. Attributes of cash generation Expected | New business growth Actual | Better than expected cash 8% Return on Cash invested, 21% delays the emergence of cash generation from Life and Invest Return including the Embedded Value Example | Growing by 15% p.a. Shareholder Capital invested 21% p.a. Cumu
Slide 44: Financial characteristics of monoline, Shared-Value insurance
Financial characteristics of monoline, Shared-Value insurance 1 2 44
Slide 45: 2. Valuing long-term cash flows
2. Valuing long-term cash flows >R40bn Insurance Asset (NRR) IFRS Pre tax Balance Sheet Asset R30bn under IFRS reserving assumptions (i.e. Valuing significant margins) long-term Insurance Asset Cumulative (NRR) acquisition costs cash flows 45
Slide 46: 2. Margins under the Insurance Asset (NRR) are substantial
2. Margins under the Insurance Asset (NRR) are substantial Available margin under various 1 in 200 stresses Safety net (1 in 200 stresses) Compulsory and Discretionary margins 1-in-200 Base Nominal Int Rat e Real Int Rate U p Mortal ity Morbidity Lapse M ass Lapse l evel up Expense Mortal ity Morbid
Slide 47: 2. Valuing long-term cash flows
2. Valuing long-term cash flows Insurance Asset (NRR) IFRS Pre tax Balance Sheet Asset under IFRS reserving Non-economic experience variances assumptions (i.e. Valuing significant margins) ! "#$%#&'() *&+($ ,()- ()-%.#-() = ±0 long-term cash flows Embedded Value Jun 2010 Jun 2011 Jun 2012 Jun 2013 J
Slide 48: 2. Long-term cash flow projections and robustness
2. Long-term cash flow projections and robustness Actual lapse experience is lower than best For 100 in-force policies, we expect 79 to have exited in 20 years estimate and reserving assumptions The reserve remains robust against long-term lapse stresses New business cohort 100 Reserving basis Best
Slide 49: Management actions to improve robustness further
Management actions to improve robustness further Negative non-economic experience 1. Strengthening of lapse assumptions for lapse variances have been addressed supported business R million H1 H2 -422 -40 2. Strengthening of correlations to Health and Vitality 3. Premium reviews for select legacy pol
Slide 50: Financial characteristics of monoline, Shared-Value insurance
Financial characteristics of monoline, Shared-Value insurance 1 1. R2.2bn in cash invested and over R5bn in cash returned 2. A cash return of 8% p.a. has been achieved 3. Including the Embedded Value the return increases to 21% 2 1. Negative Rand Reserve is robust (1 in 200 year stress), with substa
Slide 51: Discovery Invest
Discovery Invest
Slide 52: Discovery Invest new business, assets and profit
New business API Assets under administration Normalised operating profit Rm Rbn Rm to R2 604m +12% to R91.6bn +9% to R966m Jun-08 Jun-09 Jun-10 Jun-11 Jun-12 Jun-13 Jun-14 Jun-15 Jun-16 Jun-17 Jun-18 Jun-19 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 2015 2016
Slide 53: The manifestation of the Shared-Value Model
The manifestation of the Shared-Value Model Longer terms to Lower income Gold and Diamond Reduced lapses retirement Higher savings rates drawdowns members -32% +3.6 years +41% +141% -12% 2015 2019 2015 2019 2015 2019 2015 2019 2015 2019 Standardised for Age, Gender, SE Class, Initial RUB; Rebased to
Slide 54: Tangible improvements in performance through Shared-Value
Tangible improvements in performance through Shared-Value Discovery Fund Performance Distribution of client returns Low Medium High Fund Name ASISA Sector Base Engagement Engagement Engagement Discovery Balanced SA MA High 2nd quartile Top quartile Top quartile Top quartile of engaged Discovery Inve
Slide 55: Discovery Insure
Discovery Insure
Slide 56: Discovery Insure premium, new business and profit
Gross written premium New business API Combined ratio Normalised operating profit Rm Rm Rm to R3 211m -1% to R1 041m -3% to 95% +128% to R155m (excl. Commercial) (excl. Commercial) (excl. Commercial) (excl. Commercial) +3% incl. DBI 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017 20
Slide 57: Resilient performance in a tough market
Resilient performance in a tough market Growth in tied channels and decline in Exceeding real annual growth in Increasing Vitality drive take-up and independent channels average premium size engagement rate Lower new business growth from intermediated channels Growth in new business premium and CPI,
Slide 58: The quality of the inforce book is good
The quality of the inforce book is good Selective lapsation of new clients, low Loss ratio improving for each additional Increasing duration and scale effects on lapses thereafter year inforce combined ratio Lapse rate by duration inforce Loss ratio by duration inforce Expected combined ratio, ceter
Slide 59: Discovery Bank
Discovery Bank
Slide 60: Timeline and bank costs
Timeline Bank costs (Rm) Slightly delayed to ensure the delivery of a robust, brilliant bank Within expectation due to the disciplined management of costs ACTUAL S.17 First Gallagher Public roll Media Licence deposit Llunch out launch R3 172m R3 212m received VS ~three- Actual cost Expected cost mon
Slide 61: The Bank has made significant progress since public launch
01/05/2019 15/05/2019 Clients 29/05/2019 As at 3-September-2019 12/06/2019 26/06/2019 10/07/2019 24/07/2019 07/08/2019 21/08/2019 22k 01/05/2019 15/05/2019 29/05/2019 As at 3-September-2019 Accounts 12/06/2019 26/06/2019 10/07/2019 24/07/2019 07/08/2019 21/08/2019 01/05/2019 Rm As at 3-September-201
Slide 62: Discovery Bank onboarding study
Discovery Bank onboarding study 100% 7.4X 6.8X Bank A 48% Study details 5.9X Bank C 29% • 171 accounts 5.1X opened Bank E 19% • 8 banks • Accounts opened 3.8X digitally (where 3.3X Bank B 8% 2.9X possible) • Independent 3rd Bank F 0% party market research firm 4:20s Bank G 0% • Transaction accounts
Slide 63: Bana
at Bana @ firm f (Health; Driving; Money)
Slide 64: Principles for Discovery Miles
Principles for Discovery Miles Earn Spend Monetising Healthy Boosted reward Behaviours partners Real-time & immediate Access Monetize rewards ! "#$%&ℎ; )*+,+-.; /0-#1 Active Spend Rewards Single eco-system for Discovery 64
Slide 65: Leveraging the position achieved to create a composite
SA COMPOSITE MODEL UK COMPOSITE MODEL PARTNER COMPOSITE MODEL Leveraging the position the businesses have achieved, the , and the disruptive opportunity to create a that is essentially funded by the high acquisition costs in the traditional distribution channels to 65
Slide 66: UK composite: new business, lives, operating profit
New business Lives covered Operating profit Contribution to Group EV to £144m to 1.26m lives to £73.3m of the Group Embedded Value GBP millions GBP millions 2014 2015 2016 2017 2018 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 66
Slide 67: Opportunity to build a disruptive composite model in the UK
Opportunity to build a disruptive composite model in the UK The UK insurance Clients have similar Very little overlap despite market profiles* similarities in profiles UK population 25% 20% Single line (silo) 15% insurers 10% 5% Only 1.5% of the inforce 0% membership have both VitalityHealth clients
Slide 68: Vitality Health Insurance
Vitality HEALTH INSURANCE
Slide 69: VitalityHealth new business, lives and profit
New business Individual new business Lives covered Operating profit to £73.5m to £39m to 643k lives to £41.4m +21% to 715k lives including Healthy Workplace lives GBP millions GBP millions GBP millions 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2015 2016 2017 2018 201
Slide 70: Strong performance across all key business metrics
Strong performance across all key business metrics Loss ratio Lapse rate Cash generation £84m £53.7m -18% -42% £14.7m 2015 2016 2017 2018 2019 2017 2018 2019 Cash Write new Invest in Total cash generated business * project generated from inforce initiatives *Write new business: premiums – claims – e
Slide 71: Vitality Life Insurance
Vitelity LIFE INSURANCE
Slide 72: VitalityLife new business, lives and profit
New business Lives covered Operating profit* to £70.5m to 543k lives to £31.6m GBP millions GBP millions 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 *Includes Transfer Price Margin 72
Slide 73: Right-sizing the business for the current economic environment
Work has been done to right-size the business for the current economic environment VNB margin Value of inforce Claims experience* Lapse EV variances Addressed +9% 1,9 through various remedial actions 39% 39% 96% 91% - 6,3 - 7,2 Lapse Variance on Lapse Variance on Non-recoverable Other Business HLB's
Slide 74: Digital strategies for China's leading tech-driven health insurer
SA COMPOSITE MODEL UK COMPOSITE MODEL PARTNER COMPOSITE MODEL Digital strategies to support vision of becoming China’s leading tech-driven health insurer Strong focus on expansion and investing in InsureTech capabilities like Vitality1 74
Slide 75: Ping An Health
Cpe s PING AN
Slide 76: Ping An Health new business, premium and results
Discovery’s share of PAH’s Discovery’s operating New business1 Written premium operating results pre-tax result pre-tax to R10.1bn to R17.8bn to R239m to R179m Retrospective Retrospective tax change tax change 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017
Slide 77: Actuarial dynamics strong and investing in growth
Actuarial dynamics strong and investing in growth Expenses have been growing faster Actuarial dynamics remain strong than premiums Loss ratio Retention rates PAH premiums grew by 72% while total expenses grew by 85%, driven by ‘investment’ expenses Target 85% Target 72% PAH premium Total expenses Ju
Slide 78: Continued expansion of offline distribution footprint
Continued expansion of offline distribution footprint Opened branch in Chongqing – one of China’s mega-cities Population GDP growth rate Chongqing 39th largest economy in the world in terms of GDP size Premium revenue 31 32 33 34 35 36 37 38 39 40 SOUTH AFRICA SINGAPORE HONG KONG MALAYSIA DENMARK PH
Slide 79: Ping An Health focusing on growing internet insurance strategies
Ping An Health focusing on growing internet insurance strategies In just 2 years the PAH app has evolved into a comprehensive health insurance App PAH App is gaining good traction and enabling a strong D2C channel Jul 2016 Begin developing App App attracts a younger client mix App customers spend mo
Slide 80: Hello Run Club key to digital strategy
Hello Run Club, the digital version of Vitality, is key to digital strategy HelloRun had 3.52m participants YTD, and a total of 137m HelloRun Club drives most of the daily active users in events registered the App Daily active users (‘000) 32,7 HEALTH MEMBERSHIP 21,0 i Dong Bao · Critical Illness DI
Slide 81: Vitality Group
Vitelity GROUP
Slide 82: Vitality Group revenue, operating result and membership
Integrated API by Insurance and franchise insurance partners Revenue Operating result partners membership R12bn R922m R161m 1.4m USD853m USD65m USD11m 168% CAGR 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 All numbers exclude new VG initiatives,
Slide 83: Expansion of the Vitality Group
Expansion of the Vitality Group National Champions Franchise Markets Adjacencies National Champions Exploit latent potential and scale Franchise Markets Rapid market expansion and penetration Adjacencies Pursue shared-value adjacencies and partnerships GYM & DEVICES GROCERS TRAVEL OTHER ACTIVE REWAR
Slide 84: Vitality is changing the nature of its business
Vitality is changing the nature of its business Engagement levels of Customer Net Promoter those on Vitality Score Annual premium sold Annual sales growth rate Entrenched buy in Higher ratings Market growth Faster sales 82% 76% 32 57% 4 6% Vitality engaged Stay engaged USA Life/Health John Hancock P
Slide 85: Franchises: a different model required
Franchises: a different model required from the National Champions Background Time to build (man-hours) Scaling of model 80 000 Achieved within less Already 20% more than 2 years efficient within Franchise builds Different Needs 14 988 13 264 12 366 Economics Timing Japan Ecuador Pakistan Netherland
Slide 86: Strategy for becoming the world's largest behavioural platform
The strategy for becoming the world’s largest behavioural platform Individual rebuild required each time Resulted in prohibitive costing Lacked ability for critical processes System Build Cost BEFORE Aim to bring down Plug and Play to create best build costs by combination Adapt to different market
Slide 87: A complete InsureTech solution
A complete InsureTech solution Provide a global behavioural change platform that is quick to implement, easy to configure and efficient to Seamless integration with the platform operate - serving over 50 million global users by 2023 allows plug and play — business vision for Vitality ONE Anti-fraud
Slide 88: Perfect composite model, #1 in every industry
SA COMPOSITE MODEL UK COMPOSITE MODEL PARTNER COMPOSITE MODEL Perfect composite model, #1 in every industry, and laboratory for shared value in financial services. A successful entry into banking The best insurer in the UK, making use of a composite Shared-Value Model Ping An Health delivers on its
Slide 89: Projection when maintaining 10% investment into New businesses
Projection when maintaining 10% investment into New businesses % Invested in New businesses Group earnings growth Financial leverage ratio 4 year operating profit CAGR 25% Target = 28% 13% 21% 20% 12% 19% 18% 15% Target = 10% 10% 14% 5% 0% FY19 FY20 FY21 FY22 FY23 FY24 FY19 FY20 FY21 FY22 FY23 FY24
Slide 90: Key strategic focus areas for the period
Key strategic focus areas for the period Growth and Based on our deep conviction in Purpose and SV business model, and the tactical imperative of building during difficult times, pursuing organic growth while concurrently prudence de-risking our business, strengthening our capital base and increasin
Slide 91: Audited results and cash dividend declaration
DISCOVERY AUDITED RESULTS and cash dividend declaration for the year ended 30 June 2019