CHESNARA
FULL YEAR RESULTS 2024
Continued strategic delivery driving growth in cash generation, future value and dividends
27 MARCH 2025
AGENDA
1
OVERVIEW OF STRATEGIC DELIVERY
Steve Murray
Group Chief Executive Officer
CHESNARA HAS CONTINUED TO EXECUTE ITS STRATEGY
We have a track record of running insurance books of business efficiently, for the benefit of customers, investors and our other stakeholders
CONTINUED STRATEGIC DELIVERY DRIVING GROWTH IN CASH GENERATION, FUTURE VALUE AND DIVIDENDS
Increased Cash | Continued | EcV per share | New Business | DPS |
Generation1 of | robust Solvency | increased to | Contribution of | increased to |
£60m | 203% | 352p | £9m | 24.7p |
↑ +14% | ↓ -2% | ↑ +1% | ↓ -8% | ↑ +3% |
CONTINUING TO DELIVER FOR OUR SHAREHOLDERS
We have the best2 dividend growth track record in UK and European insurance
Total dividend per share has more than doubled since 2004 with £502m paid out in cumulative dividends
Dividend yield in 2024 of 9%3
3% dividend increase in 2024
SIGNIFICANT OPERATIONAL DELIVERY ACHIEVED
ACQUISITIONS
o Completion of a second portfolio acquisition from Canada Life UK
o Migration of previous book now complete
SYNERGIES
o Process to merge Dutch business units underway and actions taken to generate pre-merger cost savings
o Potential for future value enhancement
MANAGEMENT ACTIONS
o Renewal of the Group FX hedge
o Execution of further mass lapse reinsurance in the UK
o Active pipeline of further available actions
SUSTAINABILITY
o On track to deliver our 2030 and 2050 financed emissions reduction targets
o Improved our Sustainalytics rating
M&A MOMENTUM CONTINUES WITH CANADA LIFE DEAL
Canada Life onshore bond and pension portfolio | |
Consideration | £2m |
Day 1 EcV uplift | £11m |
Cash Generation (over 5 years) | £8m |
Policies | 17k |
AuA | £1.5bn |
Strategic benefits
Successful partnership leads to second transaction
Further demonstration of portfolio
acquisition capabilities to other potential
counterparties
Financially attractive transaction, with minimal use of existing financial firepower
Further scale on new platform with policies
to be managed by SS&C
FINANCIAL OUTCOMES
Tom Howard
Group Chief Financial Officer
GROWING CASH, VALUE AND DIVIDEND
Full year dividend 24.7p per share, up 3% year on year