Coface Sa (COFAF) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good day, and thank you for standing by. Welcome to QFAS first quarter results presentation. At this time, all participants are in listen-only mode. After the speaker's presentation, there will be the question and answer session. To ask a question during the session, you need to press star, one, one, on the telephone keypad. You will then hear an automatic message advising your hand is raised. To withdraw a question, please press star, one, one, again. Please be advised that this conference is being recorded. I would now like to hand the conference over to our speaker today, Xavier Durand. Please go ahead. Thank you very much and good evening. Thanks to all of you for joining. Happy to report today our first quarter 2025 numbers. You all have seen from the headline, it continues to be a good story for COFAS. We're reporting net income at $62.1 million. The turnover is up 2% at constant FX and parameter with trade credit insurance growing actually 1.2%. That's an inversion of the trend that we had last year as we've had, I think, a negative or zero activity through most of the year. Client activity is up 1.2% for this quarter. Client retention near our record at 95%. Pricing still down, but pretty much in line with the prior year and with historical trends. Strong growth continues with business information growing almost 15%, same as debt collection. Factoring slightly down, that's really the reflection of the industrial Germany and Central Europe business. As you can see, the loss ratio came in at 39.1%, which is up 3.3 points. That brings the net combined ratio at 68.7, which is in line with Q4. Slightly higher gross loss ratio at 38.7. Higher opening year reserving and pretty stable reserve releases from the prior vintages. The costs are up 2.2 points at 29.5. We c...