Bangkok Life Assurance Public Co., Ltd. · SET:BLA
Bangkok Life Assurance Public — Bangkok Life Assurance — Q3 2012 Earnings Presentation
36 slides from Bangkok Life Assurance Public's earnings presentation, Nov 15, 2012
Slide 1: Bangkok Life Assurance 3Q12 Performance Update
Bangkok Life Assurance 3Q12 Performance Update November 15, 2012
Slide 2: Performance Highlights – 3Q2012
Performance Highlights – 3Q2012 Net Profit Movement Investment +283 +40 -55 -347 1,063 MB -94 -46 844 MB -20.59% Net Profit Interest Dividend Capital Underwriting Opt. Tax Net Profit 3Q2011 Income Gain Profit Expenses 3Q2012 38.44% Return on Equity 19.87%
Slide 3: Performance Highlights – 9M2012
Performance Highlights – 9M2012 Net Profit Movement Investment +106 -1,283 +811 +16 3,342 MB -176 -252 2,565 MB -23.24% Net Profit Interest Dividend Capital Underwriting Opt. Tax Net Profit 9M2011 Income Gain Profit Expenses 9M2012 34.50% Return on Equity 20.14%
Slide 4: Performance Highlights – 3Q2012 Shareholders' Equity Movement
Performance Highlights – 3Q2012 Shareholders’ Equity Movement +1,339 - 432 17,901 +844 16,073 +1,827 MB Equity 3Q12 Fair Dividend Equity 30 Jun 12 Profit Value Paid 30 Sep 12 Gains
Slide 5: Balance Sheet
Balance Sheet Unit : MB 9M12 % 2011 % Chg. (MB) Total Assets 135,335 100.00 112,459 100.00 22,875 Investment 130,709 96.58 107,932 95.97 22,777 Net premises + equipment 318 0.23 306 0.27 11 premium receivable 1,997 1.48 2,313 2.06 -316 Accrued Investment 1,663 1.23 1,376 1.22 288 Others 648 0.48 533
Slide 6: Shareholders Equity
Shareholders Equity Unit : MB 3Q12 2Q12 1Q12 2011 2010 Total Equity 17,901 16,073 15,130 13,431 10,917 Paid-up Capital 1,200 1,200 1,200 1,200 1,200 Share Premium 2,700 2,700 2,700 2,700 2,700 Unrealized gain (loss) 5,133 3,794 3,263 2,478 2,341 Retain earnings 8,784 8,370 7,967 7,054 4,676 Life Pol
Slide 7: Investments – Allocation
Investments – Allocation Unit Trust 2.05% Loans 1.95% Unit Trust 1.62% Loans 1.94% Stocks 7.64% Stocks 8.48% Debenture 17.50% Debenture 20.53% Bond Bond Bond Short Term 7.76% 66.97% 63.10% 63.93% Short Term 3.50% 2011 Sep’12 G-Bond SOE Foreign BBB+ to A+ Bond (Avg. Life 16.03 yrs) 79.76% 18.02% 2.21
Slide 8: Investments
Investments 5.5 5.8 5.8 5.5 5.4 5.3 5.3 ROI 4.8 130,709 28,590
Slide 9: Investments – Income Breakdown
Investments – Income Breakdown 5.7 5.6 5.3 5.4 5.3 ROI 5.1 4.9 Cap Gains Dividend Interest
Slide 10: Premium Growth - All Type
Premium Growth - All Type %YoY %QoQ First Year Premium +12.48% -29.88% 26,805 TP Renewal Year Premium +12.31% -21.05% 22,968 Total Premium +12.35% -23.48% 20,385 RYP (Million Baht) 10,091 16,245 8,993 8,588 7,721 6,872 7,298 7,313 5,141 7,032 5,774 6,722 FYP 1,731 1,695 2,777 1,947 6,420 1,556 3Q11
Slide 11: Premium Growth - Bancassurance
Premium Growth - Bancassurance %YoY %QoQ First Year Premium +19.67% -33.31% Renewal Year Premium +19.05% -34.26% 17,747 TP Total Premium +19.26% -33.95% 14,355 (Million Baht) 7,203 12,458 RYP 5,787 8,829 5,159 4,758 3,989 4,805 2,653 3,979 4,494 3,159 5,527 5,290 FYP 1,336 1,180 1,293 2,398 1,599 3Q
Slide 12: Premium Growth - Agency
Premium Growth - Agency %YoY %QoQ First Year Premium +6.12% -14.12% 8,118 TP Renewal Year Premium +4.94% +5.57% 7,648 Total Premium +5.06% +3.10% (Million Baht) RYP 3,345 7,206 2,751 2,644 2,726 6,712 2,595 2,327 2,965 2,450 2,313 2,442 936 912 FYP 268 379 298 331 284 3Q11 4Q11 1Q12 2Q12 3Q12 9M11 9
Slide 13: Product Mix
Product Mix FYP %Growth Proportion (%) Agent Channel 3Q12 9M12 3Q12 3Q11 9M12 9M11 Endowment 2.93 -11.86 35.79 36.86 35.15 38.83 Whole Life 11.66 16.56 63.37 60.17 64.58 53.93 Total 6.01 -2.65 100.00 100.00 100.00 100.00 FYP %Growth Proportion (%) Bancassurance 3Q12 9M12 3Q12 3Q11 9M12 9M11 Endowmen
Slide 14: Product Mix
Product Mix FYP %Growth Proportion (%) Total 3Q12 9M12 3Q12 3Q11 9M12 9M11 Endowment -59.32 -52.84 24.30 67.19 36.28 73.49 Life Protection 226.62 158.13 71.79 24.72 59.80 22.12 Group Employee -49.46 -15.89 3.32 7.38 3.40 3.86 Others -7.01 -6.63 0.59 0.71 0.52 0.54 Total 12.47 -4.50 100.00 100.00 100
Slide 15: Channel Distribution
Channel Distribution First Year Premium Renewal Year Premium Total Premium 71% 69% 78% 66% 82% 52% 64% 61% 49% 44% 30% 41% 29% 35% 31% 17% 14% 13% 10% 2% 5% 4% 3% 4% 13% 4% 9% 2006 2007 2008 2009 2010 2011 9M12 2006 2007 2008 2009 2010 2011 9M12 2006 2007 2008 2009 2010 2011 9M12 Agent Banc Others
Slide 16: Agency Force
Agency Force Person Person TNQA : Thailand National Quality Awards 700 No. of TNQA of Industry 2011 IQA : International Quality Awards 612 20,078 586 20,100 600 18,931 18,100 500 16,100 MTL 30 KTAL 135 14,100 400 13,085 12,100 272 10,100 300 270 8,100 OLIC 435 200 7,550 8,077 AIA 880 6,100 113 4,100
Slide 17: Premium Collection
Premium Collection Ordinary Ordinary (%) 9M12 2011 2010 2009 AIA 91 89 92 91 MTL 90 91 91 89 TLI 90 85 90 87 KTAL 92 85 89 83 OLIC 88 91 88 90 AZAY 87 91 91 84 SCBLife 87 84 87 88 Industry 90 88 91 89 All Type All Type (%) 9M12 2011 2010 2009 MTL 90 90 91 88 TLI 90 85 89 87 KTAL 90 82 88 86 AIA 87 8
Slide 18: Expenses – Reserve & Benefit Paid
Expenses – Reserve & Benefit Paid 78.4 65.3 70.8 66.8 67.8 60.3 60.1 Reserve: Net Premium 89.97 83.13 Baht 98.74 Million 92.04 88.21 89.95 86.74 Benefit Paid Reserve = Reserve& Benefit Paid : Net Premium
Slide 19: Expenses – OPEX/Investment vs ROI
Expenses – OPEX/Investment vs ROI MB MB 5.2 1,300 4.7 4.4 3.9 4.3 4.4 3.9 1,800 8.5 6.5 1,150 7.2 6.0 6.4 6.8 7.1 6.6 5.7 4.7 4.3 1,000 1,400 850 OPEX 700 1,000 550 600 400 250 200 Operating expenses % on Net Premium Operating expenses % on Net Premium % 4.4 4.3 4.1 3.9 % 3.6 3.5 4.0 10 2.8 3.3 3.3
Slide 20: Net Income
Net Income % Tax Rate 37 -20.59% YoY 32.2 32 29.4 +4.48% QoQ 27.4 26.9 25.7 24.8 27 24.8 22 22.1 17 ROE 3,342 % 40 1,063 2,565 35 31 914 28 844 30 808 24 25 22 23 25 20 20 15 75 15 10 3Q11 4Q11 1Q12 2Q12 3Q12 9M11 9M12
Slide 21: Underwriting Income Analysis
Underwriting Income Analysis 3Q12 3Q11 %YoY 9M12 9M11 %YoY Net Premium 7,612 6,789 12.13 26,368.63 22,661.90 16.36 Inc. Policy Reserve 5,084 4,091 24.29 17,881.17 13,619.50 31.29 % of net premium 66.79% 60.26% 67.81% 60.10% Benefits Payment 1,922 1,798 6.90 5,843.80 5,218.14 11.99 % of net premium 2
Slide 22: Operating Performance
Operating Performance 3Q12 3Q11 %YoY 9M12 9M11 %YoY Dividends 230 190 21.25 523 507 3.16 Interest & Discount Received 1,334 1,051 26.96 3,756 2,945 27.56 Capital Gain on Securities 118 178 -33.59 416 324 28.18 Total Investment Inc 1,682 1,418 18.61 4,695 3,776 24.34 Net Inv. Income & Other Inc. 1,67
Slide 23: Operating Highlights – continued
Operating Highlights – continued Asset % Expense Ratio & Spread MB % 148,000 10 6 130,000 3.2 3.3 2.5 3.3 3.6 3.8 4.0 2.8 8 1.6 1.7 2.2 112,000 1.2 2 94,000 6 76,000 -2 58,000 4 40,000 -6 2 22,000 4,000 0 -10 Investment Assets Total Assets Adjusted OPEX/Inv. Assets Net ROI Spread (RHS) MB Underwriti
Slide 24: Capital Adequacy Ratio: CAR (As of Sep 2012)
Capital Adequacy Ratio: CAR (As of Sep 2012) 140% (Jan 1, 2013) OIC Monitoring 125% (Aug 16, 2011 - Dec 31, 2012) By Law 100% Capital requirement
Slide 25: Market Ranking Jan – Sep 2012
Bangkok Life Assurance Market Ranking Jan – Sep 2012
Slide 26: FYP of Ordinary – Industry Growth Rate
Industry Growth Rate +40% FYP Of Ordinary 59,692 MB Jan – Sep 2012 +19.02% +32% +26% +26% 13,171 +9% +1% -4% MTL AIA TLI SCBLife KTAL BLA AZAY 9,065 8,078 Million Baht Others 5,955 5,920 16% 5,205 AZAY MTL 5% 22% BLA 2,898 9% Market KTAL Share AIA 10% 15% SCBLife 10% TLI MTL AIA TLI SCBLife KTAL BLA
Slide 27: TP of Ordinary – Industry Growth Rate
Industry Growth Rate TP Of Ordinary 233,575 MB +36% Jan – Sep 2012 +16.47% +30% +19% +18% +19% 63,142 +6% +9% AIA MTL TLI BLA SCBLife KTAL AZAY Million Baht 32,947 Others 30,866 AZAY 12% 6% 24,928 AIA 21,967 KTAL 27% 8% 17,565 13,924 SCBLife Market 9% Share BLA MTL 11% TLI 14% AIA MTL TLI BLA SCBLif
Slide 28: FYP All Type – Industry Growth Rate
Industry +48% Growth Rate 89,270 MB FYP All Type +20.58% +40% +31% Jan – Sep 2012 +24% +15% 16,733 16,295 -5% -9% AIA MTL SCBLife TLI KTAL BLA TLA 11,366 Million Baht 10,390 8,108 Others 18% AIA 6,420 TLA 19% 5% BLA 4,206 7% Market KTAL Share MTL 9% 18% TLI SCBLife 12% AIA MTL SCBLife TLI KTAL BLA T
Slide 29: Total Premium All Type – Industry Growth Rate
Industry Growth Rate Total Premium 309,512 MB +36% All Type +17.80% +28% +26% Jan – Sep 2012 +20% +17% 72,423 +8% +9% AIA MTL TLI SCBLife BLA KTAL AZAY Million Baht 37,076 34,983 Others 28,341 24% AIA 26,805 23% 20,132 16,048 AZAY Market 5% KTAL Share MTL 7% 12% BLA AIA MTL TLI SCBLife BLA KTAL AZAY
Slide 30: FYP of Bancassurance Channel – Industry Growth Rate
Industry 48,640 MB Growth Rate +103% FYP of +29.03% Bancassurance Channel +57% +41% Jan – Sep 2012 +28% +20% 12,674 -4% -5% MTL SCBLife BLA KTAL TLA TLI AIA 10,205 Million Baht Others AIA 12% 4% TLI MTL 5,289 5,271 7% 26% 4,058 TLA Market 3,433 8% Share 1,908 KTAL 11% SCBLife BLA 21% MTL SCBLife BLA
Slide 31: Credit Life (SP) – Industry Growth Rate
Industry +85% Growth Rate 18,639 MB Credit Life (SP) +25.97% +49% Jan – Sep 2012 +35% 4,741 +16% -2% -3% -13% SCBLife AIA MTL TLA KTAL BLA TLI 3,209 Million Baht 2,828 TLI 5% Others 2,114 BLA 11% 1,888 5% SCBLife 25% KTAL 10% Market 953 930 Share TLA 11% AIA MTL 17% SCBLife AIA MTL TLA KTAL BLA TLI
Slide 32: FYP of Agent Channel – Industry Growth Rate
Industry +43% Growth Rate FYP of 29,920 MB Agent Channel +10.29% +16% (Excl. Single Premium) Jan – Sep 2012 +9% +5% +1% -2% 11,690 -15% AIA TLI KTAL MTL OLIC AZAY BLA Million Baht BLA 6,323 3% Others AZAY 10% 5% OLIC 5% AIA MTL Market 39% 2,532 2,320 8% Share 1,604 1,641 910 KTAL 8% AIA TLI KTAL MTL
Slide 33: Market Penetration – Thailand & Regional
Market Penetration – Thailand & Regional Thailand Source: 1. TLAA 2. Dept. of Provincial Administration (Population) 3. Bloomberg (GDP) Number of Policy per Population (%) Premium per GDP (%) Regional Source: Swiss Re, sigma No. 3/2012 Premium per capita (US$) Premium per GDP (%)
Slide 34: Market Penetration – Thailand
Market Penetration – Thailand Sum insured per GDP (%) Sum insured per Population (Bht) Sum insured per Household (Bht) 34 Source: 1. TLAA 2. Dept. of Provincial Administration (Population) 3. Bloomberg (GDP)
Slide 35: Q&A
BANGKOKLIFE ASSURANCE Q&A
Slide 36: Thank You
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