Slide 1: First half results 2011
First half results 2011 Presentation for investors and analysts MJEORAR FOTO 22nd July 2011 No. 2011 - 10
Slide 2: Key highlights
Key highlights Consolidated financial information Business development Appendix Financial supplement Schedule and contacts 2 No. 2011 - 10
Slide 3: Summary of the first half
Summary of the first half The good results for the first half, in a challenging environment, confirm the strength of MAPFRE’s model Revenues 11,625.7 +6.0% Premiums 9,724.6 +6.7% Managed savings 28,271.2 +14.8% Non-life combined ratio 96.5% +0.5p.p. Million Euros A net result of €543.2 million EPS o
Slide 4: Highlights of the first half
Highlights of the first half Non-Life: excellent development of the international business and success of the sales initiatives implemented in Spain in the second quarter Life: growth of the international business and noteworthy improvement in Spain in the second quarter Excellent trend in the loss
Slide 5: Strategic alliances
Strategic alliances Agreement with BANCO DO BRASIL In the first quarter of the year, the Brazilian supervisory body granted the approval for the establishment of the joint venture with BANCO DO BRASIL. As of June 2011, BB Seguros Participações S.A. and Grupo Segurador Mapfre started to jointly opera
Slide 6: The underlying result continues to grow
The underlying result continues to grow 6M 2010 6M 2011 % 11/10 Result from insurance operations 566.0 630.1 +11.3% Impact of Chile's earthquake 96.6 -- Impact of earthquakes in Japan and New Zealand -- 97.4 Adjusted result from insurance operations 662.6 727.5 +9.8% Result from non insurance operat
Slide 7: Key figures
Key figures 6M 2011 6M 2010 % 11/10 Results Gross written and accepted premiums 9,724.6 9,114.5 6.7% - Non-life 7,256.1 6,767.7 7.2% - Life 2,468.5 2,346.8 5.2% Net result, group share 543.2 500.2 8.6% Reported earnings per share (Euro cents) 18.01 17.01 5.9% Balance sheet Total assets 52,225.4 47,0
Slide 8: Consolidated financial information
Key highlights Consolidated financial information Business development Appendix Financial supplement Schedule and contacts 8 No. 2011 - 10
Slide 9: Breakdown of premiums and results by line of business and geographical areas
Breakdown of premiums and results by line of business and geographical areas Premiums(1) Contribution to consolidated results Spain 41.8% Abroad 58.2% Segment EUR MM % Non Life Spain 274.2 43.5% Reinsurance Non-Life (Abroad) 12.7% 38.9% Non Life Abroad 104.7 16.6% Life Spain 75.8 12.0% Life (Abroad)
Slide 10: Business growth
Business growth Interannual change in premiums Premiums € million % Var. € Mn. 487.0 2,936.5 +19.9% MAPFRE AMÉRICA 80.8 365.4 +28.4% MAPFRE ASISTENCIA(1) 75.7 MAPFRE RE 1,329.6 +6.0% MAPFRE GLOBAL RISKS 46.0 534.5 +9.4% MAPFRE FAMILIAR -2.2 2,344.8 -0.1% MAPFRE INTERNACIONAL -9.2 950.9 -1.0% MAPFRE
Slide 11: Breakdown of premiums by distribution channel in Spain
Breakdown of premiums by distribution channel in Spain Agents and other channels(1) Bank channel(1) 2,595.8 3,279.6 135.3 (2) 1,044.0 908.7 683.8 +20.3% -1.2% +2.6% -12.8% +16.0% -9.9% Y-o-y change LIFE NON-LIFE TOTAL LIFE NON-LIFE TOTAL 1) Gross written and accepted premiums Million Euros 2) The in
Slide 12: Favourable development of technical results
Favourable development of technical results Interannual change in Non-life underwriting result Non-Life combined ratio (%) € million 6M 11 6M 10 43.8 90.0 92.2 MAPFRE FAMILIAR MAPFRE GLOBAL RISKS 37.8 91.2 122.0 MAPFRE EMPRESAS 19.5 77.6 85.1 MAPFRE ASISTENCIA 8.7 92.4 93.1 MAPFRE AMÉRICA -27.3 101.
Slide 13: Development of Non-life insurance results
Development of Non-life insurance results Non-life Account Key points The sustained growth in premiums reflects: 6M 2011 6M 2010 % 11/10 – the development of the international and reinsurance Gross written and 7,256.1 6,767.7 7.2% businesses accepted premiums – the difficult economic environment in
Slide 14: Development of Life Assurance results
Development of Life Assurance results Life Account Key points 6M 2011 6M 2010 % 11/10 The premiums development mainly reflects: Gross written and accepted 2,468.5 2,346.8 5.2% – different schedules for sales campaigns in Spain vs. premiums 2010, offset by a very good performance of the agents channe
Slide 15: Development of results from Other Business Activities
Development of results from Other Business Activities Other Business Activities(1) Key points 6M 2011 6M 2010 % 11/10 Operating revenues and expenses: sharp decline due to the reclassification of MAPFRE QUAVITAE’s assistance business as an activity held for sale Operating revenues 227.9 300.4 -24.1%
Slide 16: Net results
Net results Interannual change in net results Net results € million € Mn. % Var. MAPFRE AMÉRICA 117.4 200.6 +141.1% MAPFRE EMPRESAS 8.1 64.9 +14.3% MAPFRE GLOBAL RISKS 6.8 12.0 +126.4% MAPFRE ASISTENCIA 2.3 10.7 +27.4% MAPFRE VIDA 0.5 75.8 +0.7% MAPFRE INTERNACIONAL -18.5 34.1 -35.2% MAPFRE RE -25.6
Slide 17: Results
Results 6M 2011 6M 2010 % 11/10 Result before tax and minority interests 851.9 788.5 8.0% Taxes -218.5 -220.6 -1.0% Result after tax 633.4 567.8 11.6% Result after tax from discontinued operations 0.4 -4.2 --- Result for the year 633.8 563.7 12.4% Result attributable to minority shareholders -90.6 -
Slide 18: Growth in assets
Growth in assets Balance Sheet Key points 30.6.11 31.12.10 30.6.10 Consolidation of: — the joint venture with BANCO DO BRASIL Goodwill 2,889.9 2,258.4 1,790.6 — the insurance operations of CATALUNYACAIXA Fixed assets 398.7 399.3 429.9 — INSUREANDGO Cash & equivalents 1,172.1 1,497.4 1,307.4 Deprecia
Slide 19: Equity has increased nearly €1,200 million in the first half of 2011
Equity has increased nearly €1,200 million in the first half of 2011 Statement of changes in equity Key points 6M 2011 6M 2010 Equity increased by €1,171.8 million since BALANCE AS AT PRIOR YEAR END 7,795.8 7,093.8 31.12.2010, reflecting: Additions and deductions accounted for directly in equity – t
Slide 20: Business development
Key highlights Consolidated financial information Business development Appendix Financial supplement Schedule and contacts 20 No. 2011 - 10
Slide 21: MAPFRE FAMILIAR – key figures
MAPFRE FAMILIAR – key figures Business activity indicators Profitability indicators -2.2 p.p. -0.1% 2,347.0 2,344.8 Gross written 92.2% 90.0% and accepted premiums 17.4% +2.0 p.p. 19.4% Combined 6M 2010 6M 2011 Ratio +28.7% 196.4 152.6 74.8% -4.2 p.p. 70.6% Underwriting result 6M 2010 6M 2011 6M 201
Slide 22: MAPFRE FAMILIAR - information by business lines
MAPFRE FAMILIAR - information by business lines Premiums evolution Combined ratio +0.1% 91.9% +2.8 p.p. 94.7% 1,206.8 1,208.6 13.1% 15.8% Motor Motor 78.8% 78.9% 6M 2010 6M 2011 6M 2010 6M 2011 90.1% -7.0 p.p. 83.1% 25.2% +0.3% 26.7% 442.2 443.7 64.9% Property Property 56.4% 6M 2010 6M 2011 6M 2010
Slide 23: MAPFRE FAMILIAR: Key highlights
MAPFRE FAMILIAR: Key highlights Stable premiums volume with respect to previous year as a result of: – a 0.1% increase in Motor insurance, versus a 1.7% contraction in the sector. At the end of the period, MAPFRE insured 5,899,329 vehicles in Spain (5,856,075 as at 31.12.2010), equivalent to a net i
Slide 24: MAPFRE EMPRESAS – key figures
MAPFRE EMPRESAS – key figures Business activity indicators Profitability indicators -7.5 p.p. -2.7% 396.9 386.3 85.1% Gross written 77.6% and accepted 26.3% -0.6 p.p. premiums 25.7% Combined Ratio 6M 2010 6M 2011 -6.9 p.p. 58.8% 51.9% +48.6% 59.6 Underwriting 40.1 result 6M 2010 6M 2011 6M 2010 6M 2
Slide 25: MAPFRE EMPRESAS: Key highlights
MAPFRE EMPRESAS: Key highlights The contraction in premiums is due to the low level of activity in the construction Premiums sector, which affects in particular the TPL and Engineering lines. This has been development partly offset by the taking on of the Trade Disruption insurance portfolio(1) in t
Slide 26: Non-life business in Spain: Key operating figures
Non-life business in Spain: Key operating figures (1) (1) Net Expense ratio Combined ratio Revenues % Var. result % Var. 6M 2011 6M 2010 6M 2011 6M 2010 MAPFRE FAMILIAR 2,652.4 -2.8% 209.3 -13.4% 19.4% 17.4% 90.0% 92.2% MAPFRE EMPRESAS 446.3 -3.9% 12.0 126.4% 25.7% 26.3% 77.6% 85.1% NON LIFE BUSINES
Slide 27: MAPFRE VIDA – key figures
MAPFRE VIDA – key figures Business activity indicators Profitability indicators -1.1% -0.08 p.p. 1,610.6 1,592.5 Gross written and accepted premiums 1.06% 0.98% Expense ratio(1) 6M 2010 6M 2011 +11.4% Underwriting 111.8 124.5 and financial result 6M 2010 6M 2011 6M 2010 6M 2011 +11.9% -1.4p.p. 139.7
Slide 28: MAPFRE VIDA: Key highlights
MAPFRE VIDA: Key highlights The variation in revenues reflects: – the good performance of the agents channel and the Life-Protection segment, where MAPFRE’s market share continues to grow – a comparatively lower premiums volume in Life-Savings products, due to the Development of differences in the s
Slide 29: MAPFRE VIDA: Breakdown of premiums
MAPFRE VIDA: Breakdown of premiums 6M 2011 6M 2010 % 11/10 By type of premium Regular Premiums 315.9 236.9 33.3% - Agents and other channels 162.8 155.7 4.6% Life - Protection Life - Savings - Bank channel - CAJA MADRID 15.3 35.5 -56.9% 15.6% 84.4% - Bank channel - CATALUNYACAIXA 66.3 --- --- (1) -
Slide 30: MAPFRE VIDA: funds under management
MAPFRE VIDA: funds under management Breakdown of funds under management Change in funds under management(1) 6M 2011 6M 2010 % 11/10 6M 2011 6M 2010 Regular premiums insurance 4,653.7 4,202.7 10.7% IFRS technical reserves (2) -115.7 28.3 - Agents channel and others 3,209.6 3,470.2 -7.5% Variation w/o
Slide 31: 2010 VIF
2010 VIF Breakdown of MAPFRE VIDA 2010 VIF +15.9% +15.9% 1,757.2 1,713.1 (44.1) +6.3% 1,262.0 (451.1) Aggregate net PVIF pre- TVFOGs Aggregate VIF post- Minority interests VIF attributable to TVFOGs TVFOGs MAPFRE S.A. Million Euros Business development 31 No. 2011 - 10
Slide 32: MAPFRE AMÉRICA – key figures
MAPFRE AMÉRICA – key figures Business activity indicators Profitability indicators +19.9% +1.6p.p. 2,936.5 2,449.5 100.3% 101.9% Gross written Non-Life 2,279.0 31.3% 35.6% 1,911.8 and accepted Life +4.3pp premiums 537.7 657.6 Non-life Combined 6M 2010 6M 2011 Ratio +76.9% 69.0% -2.7pp 66.3% 291.7 Un
Slide 33: MAPFRE AMÉRICA: Key highlights
MAPFRE AMÉRICA: Key highlights The development of premiums reflects: Growth in – the consolidation of the business with BANCO DO BRASIL as from 31st May 2011 premiums – the growth in the Motor, Property and Life Assurance lines, as a result of several sales initiatives and distribution agreements Th
Slide 34: MAPFRE AMÉRICA: Premiums and results by country
MAPFRE AMÉRICA: Premiums and results by country (1) PREMIUMS RESULTS Local Local Currency Currency COUNTRY 6M 2011 6M 2010 % 11/10 % 11/10 6M 2011 6M 2010 % 11/10 % 11/10 (2) BRAZIL 1,327.9 961.9 38.0% 33.7% 231.8 95.3 143.2% 135.5% MEXICO 306.2 271.9 12.6% 14.5% 13.0 10.0 30.0% 32.3% VENEZUELA 282.
Slide 35: Grupo Asegurador BANCO DO BRASIL & MAPFRE: structure of the agreement
Grupo Asegurador BANCO DO BRASIL & MAPFRE: structure of the agreement MAPFRE-BB BB-MAPFRE Voting rights 51% 49% 50.01% 49.99% MAPFRE AMÉRICA Economic 50% 50% 25.01% 74.99% rights MAPFRE-BB BB-MAPFRE Products Products Primarily Non-Life Primarily Life Business development 35 No. 2011 - 10
Slide 36: MAPFRE INTERNACIONAL – key figures
MAPFRE INTERNACIONAL – key figures Business activity indicators Profitability indicators +5.3p.p. -1.0% 106.7% 960.1 950.9 101.4% Gross written 26.2% and accepted 25.9% +0.3p.p. premiums Non-life Ratio Combined combinado 6M 2010 6M 2011 Ratio No Vida +5.0p.p. 80.5% 75.5% Underwriting 6M 2010 result
Slide 37: MAPFRE INTERNACIONAL: Key highlights
MAPFRE INTERNACIONAL: Key highlights It reflects: – the depreciation of the US Dollar and the Turkish Lira – a larger issuance in the USA, as a result of rate rises and the expansion outside of Premiums Massachusetts development – the increase in business volumes in Turkey due to the good economic d
Slide 38: MAPFRE INTERNACIONAL: Premiums and results by country
MAPFRE INTERNACIONAL: Premiums and results by country (1) PREMIUMS RESULTS Local Local currency currency COUNTRY 6M 2011 6M 2010 % 11/10 % 11/10 6M 2011 6M 2010 % 11/10 % 11/10 USA 712.3 722.9 -1.5% 6.8% 24.0 65.1 -63.1% -60.0% TURKEY 147.4 139.0 6.0% 18.4% 13.2 17.8 -26.2% -17.6% (2) PORTUGAL 74.4
Slide 39: MAPFRE GLOBAL RISKS – key figures
MAPFRE GLOBAL RISKS – key figures Business activity indicators Profitability indicators +9.4% -30.8p.p. 488.5 534.5 56.0 122.0% 63.7 Gross written 24.0% +1.9p.p. C&S 91.2% and accepted Global 478.5 premiums 424.8 25.9% Risks Combined -32.7p.p. ratio 98.0% 6M 2010 6M 2011 65.3% 11.4 Underwriting resu
Slide 40: MAPFRE GLOBAL RISKS: Key highlights
MAPFRE GLOBAL RISKS: Key highlights Premiums Reflects the strong growth of the Fire and Property lines from the international business, especially in Latin America, which has compensated for the lower development issuance in the Credit & Surety and TPL lines The better performance reflects: – a lowe
Slide 41: MAPFRE RE – key figures
MAPFRE RE – key figures Business activity indicators Profitability indicators +6.0% +6.3p.p. 1,253.9 1,329.6 100.9% 94.6% 164.1 193.3 Gross written 27.2% and accepted Life 25.5% +1.7p.p. premiums 1,089.8 Non-life 1,136.3 Non-life Ratio Combined combinado Ratio No Vida +4.6p.p. 6M 2010 6M 2011 69.1%
Slide 42: MAPFRE RE: Key highlights
MAPFRE RE: Key highlights Growth reflects the good development both of the renewal campaign and of the new Premiums –especially Non-Group– business, which has offset the impact of the appreciation of development the Euro (at constant exchange rates, growth would have amounted to 12%) The increase in
Slide 43: Appendix
Key highlights Consolidated financial information Business development Appendix Financial supplement Schedule and contacts 43 No. 2011 - 10
Slide 44: Variations in financial debt
Variations in financial debt Change 30.6.10 30.9.10 31.12.10 31.3.11 30.6.11 y-o-y Senior debt MAPFRE S.A. - 7/2011 293.2 279.9 283.7 287.4 291.1 -2.1 Senior debt COMMERCE - 12/2013 162.6 147.0 149.8 141.4 139.4 -23.1 Syndicated credit facility - 5/2013 300.2 130.0 201.1 260.1 230.1 -70.1 Syndicated
Slide 45: Reconciliation of earnings per share
Reconciliation of earnings per share(1) FACTOR APPLIED TO SHARES PRE-INCREASE WEIGHTED NUMBER OF SHARES POST-INCREASE Theoretical value of share ex-rights: 2.588 (*) No.Shares - adjusted weighted average 3,016,848,513 [(2.591 x 39) + (2.466 x 1)] / (39+1) [ (a) + (b) ] Adjustment factor: 0.9987939 (
Slide 46: Consolidated income statement
Consolidated income statement 6M 2011 6M 2010 % 11/10 NON-LIFE INSURANCE AND REINSURANCE Gross written and accepted premiums 7,256.1 6,767.7 7.2% Premiums earned, net of ceded and retroceded reinsurance 5,828.0 5,385.2 8.2% Net claims incurred and variation in other technical provisions -4,078.6 -3,
Slide 47: Profit breakdown by units and companies
Profit breakdown by units and companies Contribution Contribution to consolidated to consolidated result result Net Minority 6M 2011 6M 2010 Result interests € Million % € Million % DIRECT INSURANCE SPAIN 350.0 350.0 373.7 MAPFRE VIDA 75.8 75.8 14.0% 75.3 15.0% MAPFRE FAMILIAR 209.3 209.3 38.5% 241.
Slide 48: Expense and loss ratios
Expense and loss ratios RATIOS (1) (2) (3) EXPENSE RATIO LOSS RATIO COMBINED RATIO COMPANY 6M 2011 6M 2010 6M 2011 6M 2010 6M 2011 6M 2010 MAPFRE S.A. consolidated 26.5% 23.9% 70.0% 72.1% 96.5% 96.0% Direct Insurance Spain 20.2% 18.5% 68.4% 72.8% 88.6% 91.3% M APFRE FAM ILIAR 19.4% 17.4% 70.6% 74.8%
Slide 49: Breakdown of equity by units and companies
Breakdown of equity by units and companies Total equity 6M 2011 6M 2010 Var. % Stake Stake Controlling Controlling Controlling Minorities Minorities Minorities shareholder shareholder shareholder MAPFRE FAMILIAR 1,408.0 --- 1,323.1 --- 6.4% --- MAPFRE VIDA 1,049.4 --- 816.2 --- 28.6% --- MAPFRE EMPR
Slide 50: Breakdown of net financial income (before taxes)
Breakdown of net financial income (before taxes) 6M 2011 6M 2010 % 11/10 Net financial income, Non-life 379.4 421.4 -10.0% - of which realised capital gains 73.6 159.6 -53.9% - of which foreign exchange gains/(losses) -8.0 8.5 -194.8% Net financial income, Other Business Activities -69.0 -65.6 5.2%
Slide 51: Financial supplement
Key highlights Consolidated financial information Business development Appendix Financial supplement Schedule and contacts 51 No. 2011 - 10
Slide 52: Operating Companies and Units Key figures
Operating Companies and Units Key figures MAPFRE FAMILIAR MAPFRE FAMILIAR – by lines MAPFRE FAMILIAR - Motor 6M 2011 6M 2010 % 11/10 6M 2011 6M 2010 % 11/10 Gross written and accepted premiums 2,344.8 2,347.0 -0.1% Gross written and accepted premiums 1,208.6 1,206.8 0.1% Net premiums earned 1,158.3
Slide 53: Operating Companies and Units Key figures
Operating Companies and Units Key figures MAPFRE EMPRESAS MAPFRE VIDA 6M 2011 6M 2010 % 11/10 6M 2011 6M 2010 % 11/10 Technical Reserves excluding shadow accounting 18,135.0 15,567.1 16.5% Gross written and accepted premiums 386.3 396.9 -2.7% Shadow accounting adjustments -433.7 417.3 -203.9% Net pr
Slide 54: Operating Companies and Units Key figures
Operating Companies and Units Key figures MAPFRE AMÉRICA MAPFRE AMÉRICA – by lines 6M 2011 6M 2010 % 11/10 MAPFRE AMERICA - Non Life 6M 2011 6M 2010 % 11/10 Gross written and accepted premiums 2,936.5 2,449.5 19.9% Gross written and accepted premiums 2,279.0 1,911.8 19.2% Net premiums earned 2,199.6
Slide 55: Operating Companies and Units Key figures
Operating Companies and Units Key figures MAPFRE INTERNACIONAL MAPFRE USA CORP 6M 2011 6M 2010 % 11/10 6M 2011 6M 2010 % 11/10 Gross written and accepted premiums 950.9 960.1 -1.0% Gross written and accepted premiums 712.3 722.9 -1.5% Net premiums earned 801.4 813.0 -1.4% Net premiums earned 633.4 6
Slide 56: Operating Companies and Units Key figures
Operating Companies and Units Key figures MAPFRE GLOBAL RISKS MAPFRE RE 6M 2011 6M 2010 % 11/10 6M 2011 6M 2010 % 11/10 Gross written and accepted premiums 534.5 488.5 9.4% Gross written and accepted premiums 1,329.6 1,253.9 6.0% - Global Risks 478.5 424.8 12.6% - of which Life premiums 193.3 164.1
Slide 57: Operating Companies and Units Key figures
Operating Companies and Units Key figures MAPFRE ASISTENCIA 6M 2011 6M 2010 % 11/10 Operating income 365.4 284.6 28.4% - Gross written and accepted premiums 286.6 213.2 34.4% - Other income 78.8 71.5 10.2% Net premiums earned 221.4 167.6 32.1% Underwriting result 20.3 11.6 75.0% Net financial income
Slide 58: Schedule and contacts
Key highlights Consolidated financial information Business development Appendix Financial supplement Schedule and contacts 58 No. 2011 - 10
Slide 59: 2011 Provisional schedule
2011 Provisional schedule 1-July to 21-July-11 Black-out period Release 2011 First Half Results 22-July-11 Madrid Conference call – 2011 First Half Results 5-Oct to 25-Oct-11 Black-out period Release 2011 Third Quarter Results 26-Oct-11 Madrid Conference call – 2011 Third Quarter Results 27-Oct-11 L
Slide 60: Investor Relations Department
Investor Relations Department Luigi Lubelli Deputy General Manager - Finance +34-91-581-6071 Jesús Amadori Carrillo Head of Investor Relations +34-91-581-2086 Alberto Fernández-Sanguino Investor Relations +34-91-581-2255 Natalia Núñez Arana Investor Relations +34-91-581-8664 Antonio Triguero Sánchez
Slide 61: Disclaimer
Disclaimer This document is purely informative. Its content does not constitute, nor can it be interpreted as, an offer or an invitation to sell, exchange or buy, and it is not binding on the issuer in any way. The information about the plans of the Company, its evolution, its results and its divide