Swiss Life Holding Ag · SIX:SLHN
Swiss Life — H1 2023 Earnings Presentation
22 slides from Swiss Life's earnings presentation, Sep 6, 2023
Slide 1: Half-year results 2023
Half-year results 2023 Extract from investor presentation for media representatives 6 September 2023
Slide 2: Agenda
Agenda Overview Patrick Frost, Group CEO Financial results and strategy update Matthias Aellig, Group CFO 2 | Half-year results 2023 | Extract from investor presentation for media representatives
Slide 3: Swiss Life 2024 very well on track
Swiss Life 2024 very well on track Net profit1), RoE1) Fee result CHF m, % CHF m Net profit +12% RoE 850-900 630 560 -2% 10-12% 350 343 13.6% 15.8% HY 2022 HY 2023 Target 2022-2024 HY 20222) HY 2023 Target 2024 Cash to Holding SST ratio CHF m % 2.8-3.0 bn 215% ~215% 140-190% +9% 972 1 061 HY 2022 HY
Slide 4: Attractive cash returns to shareholders over past decade; new share buyback of CHF 300 m
Attractive cash returns to shareholders over past decade; new share buyback of CHF 300 m Dividend and share buybacks CHF, per share Share 2.6 27.9 0.9 12.9 22.7 8.9 buybacks1) per share 30.00 25.00 20.00 21.00 New share buyback 16.50 of CHF 300 m 13.50 11.00 From October 2023 8.50 5.50 6.50 to March
Slide 5: Agenda
Agenda Overview Patrick Frost, Group CEO Financial results and strategy update Matthias Aellig, Group CFO 5 | Half-year results 2023 | Extract from investor presentation for media representatives
Slide 6: Business review Switzerland
Business review Switzerland CHF million HY 2022 HY 2023 Change GWP incl. PHD 5 907 6 044 +2% • GL: -1% (market -2%), higher single premiums more than offset by lower periodic premiums; AuM semiautonomous business increased to CHF 6.9 bn (FY 22: CHF 6.2 bn) • IL: +26% (market +9%) driven by higher si
Slide 7: Business review France
Business review France EUR million HY 2022 HY 2023 Change GWP incl. PHD 3 547 3 417 -4% • Life: -7% (market +6%); UL share of 63% (market 40%) • Health & protection: +8% (market +6%) • P&C: -2% Fee and commission 210 229 +9% • Strong contribution from banking business; higher UL income1) fee income
Slide 8: Business review Germany
Business review Germany EUR million HY 2022 HY 2023 Change GWP incl. PHD 695 719 +3% • Higher premiums with modern, modern-traditional and disability products (market -8%) Fee and commission 321 379 +18% • Driven by owned IFAs based on higher productivity and income1) higher number of financial advi
Slide 9: Business review International
Business review International EUR million HY 2022 HY 2023 Change GWP incl. PHD 522 1 391 +166% • Higher premiums from business with corporate clients, in particular due to acquisition of elipsLife Fee and commission 166 198 +20% • Increase due to corporate business; lower income from income1) owned
Slide 10: Business review Asset Managers (1/2)
Business review Asset Managers (1/2) CHF million HY 2022 HY 2023 Change Commission and 505 441 -13% • PAM: Sale of a subsidiary in 2022, lower average AuM other net income1) and lower real estate transaction volumes PAM 184 154 -16% • TPAM: Driven by non-recurring business and sale of a TPAM 322 288
Slide 11: Business review Asset Managers (2/2)
Business review Asset Managers (2/2) TPAM net new assets, NNA PAM and TPAM assets under management, AuM CHF billion (fair value basis) CHF billion (fair value basis) 6.9 278.3 252.7 252.6 259.7 1.3 102.8 1.0 99.7 112.2 TPAM 105.4 0.4 0.2 3.0 Real estate 0.7 0.4 Infrastructure 3.3 1.0 Balanced mandat
Slide 12: Investment portfolio
Investment portfolio Insurance portfolio for own risk1) CHF million (fair value basis) 147 233 147 440 Equities & equity funds 8.2% 8.6% Alternative investments 2.7% 3.0% Real estate 28.2% 28.3% Mortgages Loans 6.9% 6.9% 2.9% 3.0% Government & supranational bonds 23.3% 22.7% 48.6% 48.2% Corporate bo
Slide 13: CSM development
CSM development CSM development (pre-tax, gross) CHF billion (IFRS basis) +0.3 +0.4 -0.2 16.6 16.4 -0.4 +0.8 15.9 -0.7 CSM Expected New business Experience Economic CSM before Release CSM 31.12.20221) business adjustments and other release to P&L 30.06.20232) contribution and updates non-operating o
Slide 14: Group SST ratio as of 30 June 2023 estimated to be around 215%
Group SST ratio as of 30 June 2023 estimated to be around 215% Swiss Life Group Swiss Life Group SST sensitivities SST standard model (as of 30.06.2023) 215% as of 01.01.2023 ~215% as of 30.06.2023 Real estate -10% -23 ppts Capital management actions 190% Credit spreads1) +100 bps -10 ppts Ambition
Slide 15: Growing fee and commission income
Quality of earnings Growing fee and commission income and earnings growth Fee and commission income1) CHF million (IFRS basis) +3% +6% LC 1 169 1 202 Swiss Life Asset • Lower PAM and TPAM commission income 439 Managers 490 560 Owned IFA channels • Higher revenues from DE; lower revenues from CH and
Slide 16: Profit from operations and fee result
Quality of earnings Profit from operations and fee result and earnings growth Adjusted profit from operations Components of fee result CHF million (IFRS basis) CHF million (IFRS basis) +6% -2% 836 350 343 788 343 Fee result 154 119 AM 350 101 Owned IFAs 98 Operating result 502 553 insurance business
Slide 17: Return on equity
Capital, cash Return on equity and payout Return on equity, annualised HY 2023 calculation % (IFRS basis) IFRS 17 / 9 17.3% 15.8% Shareholders’ • 01.01.2023: CHF 8.5 bn equity • 30.06.2023: CHF 7.8 bn 13.6% • HY 2023: CHF 619 m Net profit (profit attributable to shareholders, excl. minorities) • HY
Slide 18: Increased cash remittance to Holding; new share buyback of CHF 300 m
Capital, cash Increased cash remittance to Holding; and payout new share buyback of CHF 300 m Cash remittance to Holding Share buyback programmes CHF million (additional details) +9% • Amount: CHF 1 bn 1 061 Completed • Timing: Dec 2021 – May 2023 972 • Amount: CHF 300 m 58% 66% Life • Timing: Oct 2
Slide 19: Swiss Life 2024 very well on track
Swiss Life 2024 very well on track Swiss Life 2024 financial ambitions and targets • Fee result CHF 850-900 m On track FY 2024 Quality of earnings and earnings growth • RoE1) 2) 10-12% Ahead3) 2022-2024 • Cash to Holding CHF 2.8-3.0 bn Ahead Cumulative 2022-2024 Capital, cash • Dividend payout ratio
Slide 20: Abbreviations and IFRS 17 / 9 glossary
Abbreviations and IFRS 17 / 9 glossary Abbreviations AGM Annual general meeting IFRS International Financial Reporting Standards ALM Asset and liability management IL Individual life AM Business division Asset Managers IN Business division International APE Annual premium equivalent LC Local currenc
Slide 21: Disclaimer and cautionary statement
Disclaimer and cautionary statement This presentation does not constitute or form part of any advertising, offer, recommendation or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for any securities of Swiss Life, nor shall part or all of this presentation or i
Slide 22: We enable people to lead a self-determined life.
We enable people to lead a self-determined life.