Great Eastern Holdings Limited · SGX:G07
Great Eastern — Q1 2018 Earnings Presentation
11 slides from Great Eastern's earnings presentation, May 3, 2018
Slide 1: Financial Results for Q1-18 Supplementary Information
GREAT EASTERN HOLDINGS LIMITED Financial Results for Q1-18 Supplementary Information 3 May 2018 Disclaimer: This material should be read as an overview of GEH’s current business activities and operating environment. It should not be solely relied upon by investors or potential investors when making
Slide 2: Overview of Q1-18 Financial Results
Overview of Q1-18 Financial Results S$’m Q1-18 Q1-17 ∆ Total Weighted New Sales1&4 231.1 280.1 -17% New Business Embedded Value2 to 4 100.7 111.0 -9% Operating Profit (net of tax)4&5 159.3 120.8 +32% from Insurance Business Non-Operating Profit (net of tax)4 &5 -5.1 -82.1 nm from Insurance Business
Slide 3: Q1-18 Key Highlights
Q1-18 Key Highlights • Group’s TWNS at S$231.1 million for Q1-18 was 17% lower than last year due to lower Single Premium sales in Singapore. • Group’s NBEV was 9% lower at S$100.7 million for Q1-18, contributed by lower sales. NBEV margin was higher at 43.6% as a result of shift in product mix. • O
Slide 4: Total Weighted New Sales (TWNS) – By Market
Total Weighted New Sales (TWNS) – By Market Lower Group’s TWNS for Q1-18 compared to same quarter last year: • Lower sales from bancassurance channel in Singapore. -17% 470.8 5.3 -17% 121.1 280.1 305.7 280.1 4.6 TWNS – By 231.1 256.0 4.5 4.5 231.1 Market 4.9 6.7 75.4 6.7 (S$ m) 72.7 72.7 84.0 70.2 3
Slide 5: Singapore TWNS – By Channel Mix
Singapore TWNS – By Channel Mix TWNS in Singapore of S$154.2 million for Q1-18, lower than same period last year: • Lower sales of single premium products through bancassurance channel. • Sales from agency channel was comparable to the same quarter last year. Y-o-Y Change ∆ Total -24% Single Premium
Slide 6: Malaysia TWNS – By Channel Mix
Malaysia TWNS – By Channel Mix TWNS in Malaysia of S$70.2 million for Q1-18; slight drop from the same period last year : • Lower sales of regular premium products through agency channel. • Continued growth in sales through bancassurance channel. -3% 121.1 -3% 3.2 7.2 Malaysia 84.0 TWNS – By 72.7 70
Slide 7: New Business Embedded Value (NBEV) - By Market
New Business Embedded Value (NBEV)- By Market Lower NBEV of S$100.7 million; but NBEV margin increased to 43.6% for Q1-18 : • Lower NBEV was contributed by lower sales in Singapore. • Higher margin as a result of favorable product mix. 50.3% 43.6% 39.6% 40.8% 43.6% 39.6% 37.9% NBEV Margin (%) -9% 17
Slide 8: Breakdown of Profit from Insurance Business
Breakdown of Profit from Insurance Business Profit from insurance business of S$154.2 million for Q1-18 : • Higher operating profit coming from lower claims and higher investment income. • Non-operating loss due to widening of credit spreads. 298% 298% 242.8 247.2 185.0 84.6 84.0 Breakdown 154.2 26.
Slide 9: Profit from Shareholders’ Fund
Profit from Shareholders’ Fund Profit from Shareholders’ Fund of S$1.0 million for Q1-18 was lower than Q1-17: • Lower realised gain on sale of investments in Q1-18 as compared to same quarter last year. • Mark-to-market losses on investment assets classified as “fair-value through profit and loss”
Slide 10: Group Profit Attributable to Shareholders
Group Profit Attributable to Shareholders Profit attributable to shareholders was S$152.9 million for Q1-18 : • Higher operating and non-operating profit from insurance business. • Lower profit from shareholders’ fund. +68% +68% 426.8 Group Profit 182.7 287.5 Attributable to Shareholders 231.6 47.4
Slide 11: Thank You
THANK YOU 11
Great Eastern Holdings — Q1 2018 Earnings Presentation on 6ix