Slide 1: Storebrand Q1 2019
Storebrand Q1 2019 8 May 2019 Odd Arild Grefstad – CEO Lars Aa. Løddesøl – CFO
Slide 2: Highlights Q1 2019
Highlights Q1 2019 11% Unit Linked growth2 Group result1 733 202 23% growth Swedish Unit Linked premiums2, 3 MNOK 531 3% AuM growth Asset Management2 Q1 2019 Financial items and risk result life Operating profit 173% Solvency II ratio4 1 Result before amortisation and write-downs. 2 Growth figures a
Slide 3: Our strategy: A compelling combination of self-funding growth and capital return
Our strategy: A compelling combination of self-funding growth and capital return from maturing guaranteed back-book 1 A B C D Asset manager with Build a world class Uniquely positioned in Leading position strong competitive Savings business growing retail savings Bolt-on M&A Occupational Pension pos
Slide 4: Storebrand Asset Management launches funds internationally
Storebrand Asset Management launches funds internationally 5 funds listed in Denmark 3 funds to be listed in Lux (+ Skagen funds) Selective European market entry 4
Slide 5: Continued growth, growth ambitions maintained
Continued growth, growth ambitions maintained Unit Linked Asset management +11% +3% 191 Premium income drives 707 729 All-time high AuM 172 growth Favourable equity Strong sales in Sweden markets drive growth in Q1 Weaker SEKNOK in Q1 Q1 2018 Q1 2019 Q1 2018 Q1 2019 dampens growth by AuM (
Slide 6: Continued strong growth in Swedish Unit Linked premium income
Continued strong growth in Swedish Unit Linked premium income1 +23% 2 247 +26% ~0% 1 823 1 408 1 446 1 277 Q1 2015 Q1 2016 Q1 2017 Q1 2018 Q1 2019 1 Numbers in SEK and including transfers. 6
Slide 7: Key figures
Key figures Group Result development1 Earnings per share2 Financial items and risk result life Operating profit MNOK Special items/Performance cost 4.18 931 812 853 147 563 733 149 167 168 40 11 202 1.69 1.46 1.33 1.26 635 645 645 654 549 -103 -18 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q1 2018 Q2 2
Slide 8: Solvency movement from Q4 2018 to Q1 2019
Solvency movement from Q4 2018 to Q1 2019 Group Storebrand ASA 173% 172% 171% 2% 1% -3.5 2.5 Q4 2018 Model improvements Market movements 2 Group result3 Q1 2019 Transitionals Q1 2019 incl. & assumption transitionals changes1 1 Including decreased VA and increased equity stress 2 Including risk manag
Slide 9: SII position Storebrand Group
SII position Storebrand Group Group Solvency position(%)1 Estimated sensitivities Target SII margin 150% 173 173 1 2 SII-margin Q1 2019 171 1 173 Interest 172 171 rates -50bp 160 18 177 Interest rates +50 bp 183 2 185 Q4 2018 Q1 2019 Transitional rules SII standard model Equity -25% 165 6 172 Spread
Slide 10: Storebrand Group
Storebrand Group Group Profit1 Q1 Full year NOK million 2019 2018 2018 Fee and administration income 1 215 1 220 5 011 Insurance result 245 335 1 291 Operational cost -929 -919 -3 786 Operating profit 531 635 2 516 Financial items and risk result life 202 296 642 Profit before amortisation 733 931 3
Slide 11: Storebrand Group
Storebrand Group Group Profit Q1 Full year NOK million 2019 2018 2018 Fee and administration income 1 215 1 220 5 011 Insurance result 245 335 1 291 Operational cost -929 -919 -3 786 Operating profit 531 635 2 516 Financial items and risk result life 202 296 642 Profit before amortisation 733 931 3
Slide 12: Savings (non-guaranteed)
Savings (non-guaranteed) Savings Profit Q1 Full year NOK million 2019 2018 2018 Fee and administration income 896 889 3 709 Operational cost -615 -586 -2 405 Operating profit 281 303 1 303 Financial items and risk result life 9 -9 -46 Profit before amortisation 290 294 1 257 1) Income earned not boo
Slide 13: Savings (non-guaranteed)
Savings (non-guaranteed) Savings Reserves and premiums Unit Linked Comments 4.1 4.1 4.2 3.9 3.9 7% premium growth in Group UL premiums1,2 191 187 178 179 23% premium growth in Swedish UL premiums2,3 172 BNOK 11% growth in UL reserves2 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Assets under manage
Slide 14: Insurance
Insurance Insurance Profit Q1 Full year NOK million 2019 2018 2018 Insurance premiums f.o.a. 948 955 3 854 Claims f.o.a. -703 -620 -2 562 Operational cost -150 -156 -614 Operating profit 95 179 677 Financial result 8 28 71 Profit before amortisation 103 207 748 Profit per product line Q1 Full year N
Slide 15: Insurance
Insurance Insurance Combined ratio Comments Combined ratio and results Claims ratio Cost ratio Combined ratio 89% 90% Combined ratio in line with target of 90-92% 81% 78% 81% Seasonally high claims in P&C and high claims within Group Life 67% 72% 74% 65% 62% 16% 16% 14% 17% 16% Q1 2018 Q2 2018 Q
Slide 16: Guaranteed pension
Guaranteed pension Guaranteed Profit Q1 Full year NOK million 2019 2018 2018 Fee and administration income 361 368 1 440 Operational cost -186 -200 -816 Operating profit 174 168 624 Risk result life & pensions 61 183 191 Net profit sharing and loan losses 13 51 333 Profit before amortisation 249 401
Slide 17: Guaranteed pension - reserves in long term decline and robust buffer situation
Guaranteed pension Guaranteed - reserves in long term decline and robust buffer situation Reserves guaranteed products Comments 259 258 258 261 261 As companies convert to DC schemes, the migration from 34 34 34 33 32 DB to lower-margin paid up policies continues to reduce fee income in Guaranteed
Slide 18: Other
Other1 Other Profit Q1 Full year NOK million 2019 2018 2018 Fee and administration income 14 21 102 Operational cost -33 -36 -190 Operating profit -19 -15 -89 Financial items and risk result life 111 80 128 Profit before amortisation 91 64 40 Profit per product line Q1 Full year NOK million 2019 201
Slide 19: Appendix
Appendix 19
Slide 20: Storebrand Life Insurance asset allocation
Storebrand Life Insurance asset allocation 60% 50% 40% 30% 20% 10% 0% Bonds at Money Equities Bonds amortized Real estate Other market cost 31.03.2018 7% 25% 5% 52% 10% 1% 30.06.2018 8% 25% 4% 52% 11% 1% 30.09.2018 8% 25% 3% 53% 11% 0% 31.12.2018 7% 27% 2% 52% 10% 0% 31.03.2019 8% 26% 3% 53% 10% 0%
Slide 21: SPP asset allocation
SPP asset allocation 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Alternative investments Bonds Equities 31.03.2018 13% 81% 7% 30.06.2018 12% 81% 7% 30.09.2018 12% 80% 8% 31.12.2018 13% 81% 6% 31.03.2019 13% 82% 5% Note: The graph shows the asset allocation for all products with an interest rate guarantee
Slide 22: Investor Relations contacts
Investor Relations contacts Lars Aa. Løddesøl Group CFO lars.loddesol@storebrand.no +47 9348 0151 Kjetil R. Krøkje Group Head of Finance, Strategy and M&A kjetil.r.krokje@storebrand.no +47 9341 2155 Daniel Sundahl IR Officer daniel.sundahl@storebrand.no +47 9136 1899 This document contains Alternati