Admiral Group Plc · LSE:ADM
Admiral — H1 2025 Earnings Presentation
48 slides from Admiral's earnings presentation, Aug 14, 2025
Slide 1: Admiral Group plc 2025 Half Year Results
Admiral Group plc Overview Milena Mondini de Focatiis, Group CEO 2025 Half Year Results Group Financials Geraint Jones, Group CFO 14th August 2025 UK Insurance Alistair Hargreaves, UK Insurance CEO Europe Insurance Costantino Moretti, Head of Europe Insurance Wrap-up Milena Mondini de Focatiis, Grou
Slide 2: Overview
Our unwavering customer focus has seen our customer base grow by 10 per cent and we are well-positioned for further growth Overview Milena Mondini de Focatiis, Group CEO 2
Slide 3: Excellent results from continued discipline and diligent execution across all strategic objectives
Excellent results from continued discipline and diligent execution across all strategic objectives • Record HY group profit of £521m1 with 1 million more customers vs. HY24 ‐ UK Motor profit up 56% with disciplined approach to growth in H1 given mixed market dynamics ‐ UK Household and Money more th
Slide 4: HY25: good delivery across the board
HY25: good delivery across the board UK Motor UK Beyond Motor 2 Europe Discipline and cycle agility continue Acceleration in H1 across Household, Significant progress towards recovery in to pay off and Money particularly Italy and good results in France PBT £559m PBT £41m Motor PBT £1m +56% 3.7x sta
Slide 5: Further progress on AI and data with strong signal in pilots
Further progress on AI and data with strong signal in pilots; continued targeted investment in mobility • Continued investment in ML models to improve pricing and risk selection, reduce fraud and improve claims operational efficiency; >50% deployed beyond motor pricing; deployment time -43% vs. Dec-
Slide 6: Strongly committed to customers, people and society
Strongly committed to customers, people and society Our Customers >50 Top 3 • Consistently strong customer service across markets • Focused on accessibility and affordability: broad footprint, Group NPS 1 Trustpilot 2 dedicated teams, and variety of cover (essentials/telematics) • Recognition on div
Slide 7: Track record of delivering sustainable long-term growth
Track record of delivering sustainable long-term growth Profit before tax and Total Shareholder Return1 Admiral TSR: Delivering attractive value for shareholders: growing 4x FTSE 100 +421% vs. +102%1 earnings, dividends and returns +9% CAGR • Pricing, claims and cost excellence, underpinned Ogden 20
Slide 8: Group Financials
Our excellence in underwriting and focus on sustainable growth has helped deliver record half year results Group Financials Geraint Jones, Group CFO 8
Slide 9: Significantly higher Group profit and dividend led by UK Insurance
Significantly higher Group profit and dividend led by UK Insurance £521m 132.5p 194% 57% 115.0p +69% +72% -4pts +12pts +62% Profit before tax1 Earnings per share1 Solvency ratio3 Return on equity Dividend per share HY24: £308m HY24: 76.9p HY24: 198% / FY24: 203% HY24: 45% HY24: 71.0p Turnover1,2 Cus
Slide 10: Very positive UK Motor performance with good results across the Group
Very positive UK Motor performance with good results across the Group • Group COR improved to 78% driven by strong 20% expense ratio Group profit before tax H1 2025 H1 2024 Change following improvements across the board £m; on a continuing basis1 UK Insurance 584 363 +221 +61% • UK Insurance profit
Slide 11: Very positive UK Motor performance with good results across the Group
Very positive UK Motor performance with good results across the Group Group profit before tax H1 2025 H1 2024 Change • Very positive H1 from Admiral Money: 1 £m; on a continuing basis ‐ £16m profit, boosted by £10m from sale of back book loans; UK Insurance 584 363 +221 +61% investment in car financ
Slide 12: UK Motor: significantly higher UW result drives big increase in profit
UK Motor: significantly higher UW result drives big increase in profit UK Motor (£m) H1 2025 H1 2024 Change 1 Broadly flat volumes HoH, but higher share of renewals in H1 plus Turnover 2,269 2,403 (134) 1 reduced rates drive lower turnover Underwriting result 441 260 181 2 Investment income 91 69 22
Slide 13: UK Motor loss ratios developing positively; risk adjustment maintained at maximum
UK Motor loss ratios developing positively; risk adjustment maintained at maximum Evolution of discounted booked loss ratios1 by UWY Ultimate loss ratios: • Back years developing as expected, 2023/24 UW years very profitable • 2025 claims trends developing as expected; Admiral estimate of FY25 v 97%
Slide 14: Strong capital position and significantly increased interim dividend
Strong capital position and significantly increased interim dividend Capital position Interim dividend 41% 2% CY: 37% Pay-out ratio 89% 92% 88% -14% 203% PY: 4% 194% -37% FY24 Own Fund Market Change Final HY251 HY25 generation impacts2 in SCR dividend Normal+Special DPS Surplus £0.88bn £0.87bn Own F
Slide 15: Key takeaways and outlook
Key takeaways and outlook Looking ahead to H2 2025e • Excellent H1 results led by UK Motor with pleasing progress across the Group • Topline: customer growth expected, ex Italy; lower turnover H2 v H1 (seasonality and lower average premiums) • Continuing strong solvency position after 1.6x higher in
Slide 16: UK Insurance
Our commitment to delivering competitively priced cover and good service has helped us grow our customer base to 9.3 million customers UK Insurance Alistair Hargreaves, UK Insurance CEO 16
Slide 17: UK Insurance: continued growth and strong performance across all products
UK Insurance: continued growth and strong performance across all products Customers: 9.3m Turnover: £2.7bn PBT: £584m ● 1.1m new customers HoH; +0.5m in H1 (+6%) ‐ +1% Motor growth in H1 after record 2024 reflects pricing discipline +13% +61% +14% vs. YE24 across Household, Travel and Pet -1% ‐ 9.3m
Slide 18: Motor: continuation of 2024 market claims trends; Admiral still outperforming
Motor: continuation of 2024 market claims trends; Admiral still outperforming on claims experience Market ● Total frequency decreased vs. HY24 (largely driven by improved Market total burn cost 1 vehicle tech, road safety measures and favourable weather) Indexed 100 H1 2021 – Burn cost represents cl
Slide 19: Motor: market price decreases showing signs of slowing down in Q2
Motor: market price decreases showing signs of slowing down in Q2; Admiral remained disciplined in H1 ABI NB/RN average price1 Confused NB average quote2 Admiral Times Top3 YoY change YoY change Indexed 100, H1 22 60% 60% 200 50% 50% 40% 40% 150 30% 30% 20% 20% 100 10% 10% 0% 0% 50 -10% -10% -20% -2
Slide 20: Household: moderating market inflation and premiums; record profit
Household: moderating market inflation and premiums; Admiral builds track record with higher customer numbers and record profit Market average premium1 Indexed 100, Q1 2021 140 ● Decrease in market premiums driven by softening market 130 burn costs; continued benign weather in H1 120 110 ● Admiral r
Slide 21: Admiral well-positioned for sustainable medium-term growth
Admiral well-positioned for sustainable medium-term growth Market outlook Admiral UK Insurance Motor Admiral will continue to prioritise medium-term profitability enabled by our strong business model and pricing discipline • Claims severity inflation in H2 expected to be largely in line with H1; unc
Slide 22: Europe Insurance
We see good progress in Europe and a continued focus on delivering excellent customer service for our 1.9 million customers Europe Insurance Costantino Moretti, Head of Europe Insurance 22
Slide 23: Europe Insurance highlights
Europe Insurance highlights • Continued strong focus on margins and risk selection; €1m Motor profit in HY25, materially improved from €18m loss in H2 24 and stable vs. H1 24 • France continues to build its track record with double-digit topline growth at attractive margins in hardening market dynam
Slide 24: Strong growth in France, discipline and recovery in Italy, and further margin focus in Spain
Strong growth in France, discipline and recovery in Italy, and further margin focus in Spain EU Total turnover (€m) EU Total customers (m) • Good H1 in L’olivier, gaining scale at attractive margins -1% -3% ‐ Total customers +15% to >550k; turnover +12% 399 394 2.0 1.9 ‐ Motor: 85% COR; HY24 benefit
Slide 25: Early success in new strategic segments while focusing on efficiency, data and service
Early success in new strategic segments while continuing to focus on overall efficiency, data and customer service New broker proposition in Italy and Spain • Pleasing progress and continued investment in Brokers in Policy count Loss ratio (%) Italy and Spain; confirming medium-term opportunity to 1
Slide 26: Wrap-up
Wrap-up Milena Mondini de Focatiis, Group CEO 26
Slide 27: Admiral will continue to deliver consistently and maximise long-term value
Admiral will continue to deliver consistently and maximise long- term value • Strong H1 results, growing group profits and customers and building success in all products • Quality franchises with leading customer metrics, happy colleagues, strong fundamentals, good long-term prospects, and a sustain
Slide 28: Appendix
Appendix 28
Slide 29: Group metrics overview
Group metrics overview Notes: 1. HY25 and HY24 are on a continuing basis. Including the discontinued US business, group metrics would be: PBT: £516m HY25 vs. £310m HY24; EPS: 130.9p vs. 77.5p; Turnover: £3.2bn vs. £3.2bn; Customers: 11.5m vs. 10.5m. 2. The Ogden Discount Rate used in setting persona
Slide 30: UK Motor: loss ratio development by underwriting year
UK Motor: loss ratio development by underwriting year 1 Development by financial year (colour-coded bars) and split by underwriting year (x-axis) Undiscounted booked LRs3 (%) 104 Undiscounted ultimate 97 95 91 96 91 94 86 82 90 HY25 FY24 77 73 78 80 77 77 75 79 2024 69% 69% 71 67 74 64 64 68 65 58 5
Slide 31: UK Motor: reserve releases by underwriting year
UK Motor: reserve releases by underwriting year Net of XoL HY25: £194m1 Risk adjustment: 95th percentile 56 62 41 12 6 16 UWY 2019 2020 2021 2022 2023 2024 & prior HY24: £216m1 FY24: £372m1 incl. £79m from Ogden rate change; RA: 95th percentile Risk adjustment: 93rd percentile 100 95 62 71 77 52 56
Slide 32: Solvency ratio movements – HY24 to HY25
Solvency ratio movements – HY24 to HY25 13% 4% -41% 9% Ogden 90% -79% 198% 194% HY24 Own Fund Own Fund Ogden impact Market impacts Change in SCR Dividend HY25 generation - CY generation - PY 32
Slide 33: Sensitivities: Solvency + IFRS risk adjustment
Sensitivities: Solvency + IFRS risk adjustment Solvency II sensitivities IFRS risk adjustment sensitivities The sensitivities below cover the 2 main material risk types for the Group: insurance and market risks. Within This shows the impact on UK motor profit with all other assumptions held each ris
Slide 34: Admiral Group’s ESG ratings
Admiral Group’s ESG ratings 2025 score: AAA 2024 score: C- 2024 score: 24 2024 score: C 34
Slide 35: UK and Europe co- and reinsurance arrangements
UK and Europe co- and reinsurance arrangements UK Car UK Household Europe Motor - 2025 Other 38% 38% 38% 38% 40% QS 70% 70% 70% 70% QS 70% 70% Munich Re 40% 40% 40% 40% 60% Admiral 22% 22% 22% 22% Admiral 30% 30% 30% 30% Admiral 30% 30% 2022 2023 2024 2025 2022 2023 2024 2025 Spain Italy France • Mu
Slide 36: UK Car: co- and reinsurance arrangements
UK Car: co- and reinsurance arrangements 1,2 Proportional reinsurance (quota share): 58% from 2022 underwriting year onwards (20% Type Munich Re proportional co-insurance: 20% from 2022 underwriting year onwards Munich Re, 38% other reinsurers) Cost to Admiral Variable, depending on combined ratio F
Slide 37: Investment update
Investment update June 2025 Dec 2024 June 2024 6% 2% 6% 2% 2% 6% 3% 3% 8% Corporate bonds Government bonds 45% Money market funds & other FV 27% £5,162m 47% 48% 30% £5,428m £4,789m Cash 23% Deposit Other1 14% 15% 13% 12% 10% 9% 17% 17% 17% 10% 11% AAA 10% AA A £5,428m £5,162m £4,789m BBB 24% 27% 24%
Slide 38: Investment update
Investment update • No change in investment strategy in period or forthcoming Group (£m) HY25 HY241 FY241 • Broadly similar allocations and ratings • Higher investment income mainly reflects reinvestment of lower Underlying investment income yield 3.9% 3.9% 4.0% book yield assets through time and in
Slide 39: Analysis of other group items
Analysis of other group items £m HY25 HY24 FY24 • Pioneer mainly include Veygo (short-term/learner driver UK car Other central costs (21) (20) (51) insurer) and Admiral Business (UK SME insurer). HY24 benefitted from favourable PY releases in Veygo while HY25 included continued Admiral Pioneer resul
Slide 40: Summary income statement
Summary income statement UK Insurance European Insurance Admiral Money Other Admiral Group £m HY25 HY24 FY24 HY25 HY24 FY24 HY25 HY24 FY24 HY25 HY24 FY24 HY25 HY24 FY24 Turnover 2,654 2,675 5,109 332 341 640 67 50 108 51 32 90 3,104 3,098 5,947 Insurance premium net of XoL 1,930 1,603 3,524 273 259
Slide 41: UK Motor: HY25 total premium to core product earned premium
UK Motor: HY25 total premium to core product earned premium £m -362 -64 -75 -46 2,092 1,730 1,666 1,591 1,545 Total written Coinsurer share Admiral gross Movement in Gross earned Ancillary earned Admiral core motor XoL earned Admiral share of premiums 1 of total premiums written premiums unearned pr
Slide 42: UK Motor: HY25 cumulative profit recognition
UK Motor: HY25 cumulative profit recognition Underwriting Year 2019 2020 2021 2022 2023 2024 2025 Total written premium, net of XoL cost 2,026 2,166 2,132 2,105 2,872 3,870 1,956 Total earned premium, net of XoL cost 2,026 2,166 2,132 2,105 2,872 3,467 505 Total Admiral premium net of XoL 1,456 1,56
Slide 43: UK Motor: HY25 CY profit recognition
UK Motor: HY25 CY profit recognition Underwriting Year Prior 2019 2020 2021 2022 2023 2024 2025 TOTAL Total written premium, net of XoL cost 0 0 0 0 0 0 0 1,956 1,956 Total earned premium, net of XoL cost 0 0 0 0 0 0 1,388 505 1,893 Total Admiral premium net of XoL 0 0 0 0 0 0 1,132 413 1,545 Cumula
Slide 44: UK Motor: loss ratios, discounting and finance expenses
UK Motor: loss ratios, discounting and finance expenses UK Motor: future finance expense remaining1,3 Undiscounted loss ratios At financial year end 2017 2018 2019 2020 2021 2022 2023 2024 2025 • No discounting for time value of money Best Estimate, net of XoL FY22 8.4 12.3 15.3 16.4 46.0 53.0 • Ref
Slide 45: Admiral Money: funding structure
Admiral Money: funding structure Funding type Maturity Size Balance Sheet Funding Group Loan 30-Apr-29 £150m RCF 30-Apr-28 £200m Private Warehouse Seren One 30-Mar-28 £750m Warehouse Group Funding & RCF Seren One Seren Two UPL, Auto UPL, Auto Seren Two £400m 30-Oct-27 £750m £400m Warehouse To be ext
Slide 46: Dividend policy overview and dates
Dividend policy overview and dates Dividend policy and guidance • Admiral will pay 65% of post-tax profits as a normal dividend each half-year • Admiral expects to continue to distribute all earnings not required to be retained for solvency, buffers or to purchase shares for employee share schemes D
Slide 47: Admiral brands
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Slide 48: Disclaimer
Disclaimer For the purposes of this disclaimer, "presentation" means this document, any oral presentation, any question and answer session and any written or oral material discussed or distributed during the analyst presentation. The information contained in this presentation has not been independen