Aksigorta AS · BIST:AKGRT
Aksigorta AS — Q1 2019 Earnings Presentation
21 slides from Aksigorta AS's earnings presentation, Apr 26, 2019
Slide 1: Aksigorta Earnings Call Presentation 2019 Q1
2016 January Aksigorta Earnings Call Presentation –2019’Q1 26/04/2019 Presented by Aksigorta IR Team
Slide 2: Aksigorta Financials (in TFRS)
1. Aksigorta Financials (in TFRS) 2. What are the Risks & Opportunities? 3. Future Guidance 4. Appendix 2
Slide 3: 2019 Q1 – Aksigorta Scorecard
2019 Q1 – Aksigorta Scorecard 2019 Q1 – FINANCIAL INDICATORS (Mn TL) 1.058 14% 78 53% 586 3% 3.687 23% 106 107% (YoY) (YoY) (YoY) (YoY) (YoY) Gross Written Net Shareholders’ Total Financial Premiums Income Equity Assets Income 2019 Q1 – OPERATIONAL RATIOS 48% -3 pp 76% 9 pp 100% 6 pp 40% 11 pp (YoY)
Slide 4: Market is growing in low penetrated products such as non motor & health
Market is growing in low penetrated products such as non motor & health 19% 20% 22% 18% 18% 18Q2 18Q3 18Q4 19Q1 19'YtD MTPL 8.655 10.263 7.666 9.173 10.225 12.506 11.077 13.061 11.077 13.061 MOD NON-MOTOR HEALTH 30% 13% 14% 14% 13% 13% 11% 12% 43% 19% 10% 11% 43% 43% 10% 36% 43% 38% 37% 39% 35% 37%
Slide 5: Aksigorta's premium production increased by 14% YoY
Aksigorta’s premium production increased by 14% YoY 48% 21% 10% 14% 14% 18Q2 18Q3 18Q4 19Q1 19'YtD 503 744 638 770 880 971 932 1.058 932 1.058 MTPL 127 19% 127 67 MOD 106 106 NON-MOTOR 70 HEALTH 39 64 373 29% 470 470 301 376 376 40 257 275 53 225 230 197 247 174 186 174 186 7% 251 180 180 278 262 30
Slide 6: Topline growth and sustainable UW margins bring higher UW results
Topline growth and sustainable UW margins bring higher UW results UWR Business Mix (Mn TL) MTPL MOD NON-MOTOR HEALTH 18Q2 18Q3 18Q4 19Q1 19'YtD 45 32 34 39 59 59 10 11 10 9 44 9 40 9 40 8 22 8 29 30 32 47 10 32 8 26 23 27 1 18 19 21 6 16 4 1 23 3 2 6 -12 -9 16 4 -19 18Q1 19Q1 6 -26 -27 18'03 19'03 -
Slide 7: Combined ratio declined to 100% as of March'19
Combined ratio declined to 100% as of March’19 Combined Ratio Loss R Commission R Expense R 18Q2 18Q3 18Q4 19Q1 19'YtD 109% 101% 100% 100% 99% 99% 99% 8% 96% 95% 95% 8% 8% 8% 8% 10% 10% 13% 11% 9% 9% 16% 16% 16% 16% 18% 19% 18% 18% 18% 88% 74% 77% 76% 76% 72% 70% 68% 68% 67% 17Q2 18Q2 17Q3 18Q3 17Q4
Slide 8: As of Mar'2019, AUM reached to 2.040mTL with 30% increase YoY
As of Mar’2019, AUM reached to 2.040mTL with 30% increase YoY Time Deposit Corporate Bond Eurobond Government Bond Equities March’18 June’18 September’18 December’18 March’19 2% 4% 4% 2% 2% 6% 6% 5% 2% 4% 6% 18% 23% 18% 18% 26% 64% 69% 72% 76% 73% 18Q1 18Q2 18Q3 18Q4 19Q1 AUM (mTL) 1.574 AUM (mTL) 1
Slide 9: Strong Financial Results, +40% ROE
Strong Financial Results, +40% ROE 19Q1/ 19Q1/ Profit & Loss 18Q1 18Q2 18Q3 18Q4 19Q1 18Q1 19Q1 Balance Sheet 18Q1 18Q2 18Q3 18Q4 19Q1 18Q1 18Q4 GWP 932 744 770 971 1.058 932 1.058 14% Receivables 1.083 1.037 1.041 1.156 1.278 11% NEP 393 438 467 489 489 393 489 25% AUM 1.574 1.743 1.948 2.029 2.040
Slide 10: TFRS vs IFRS: Discounting of O/S claims is the major difference
TFRS vs IFRS: Discounting of O/S claims is the major difference between two ledgers as of March ' 2019 YtD Equity Million TL P&L Adjust TFRS Result 586,0 78,3 Equalization Reserve 85,7 3,3 Unexpired Risk Reserve 19,2 -1,4 Unallocated Loss Adjustment Expenses -14,0 -0,6 Discounting of outstanding cla
Slide 11: What are the Risks & Opportunities?
1. Aksigorta Financials (in TFRS) 2. What are the Risks & Opportunities? 3. Future Guidance 4. Appendix 13
Slide 12: Risks & opportunities are factored in our year-end guidance
Risks & opportunities are factored in our year-end guidance Risks Opportunities • Downsizing economy limits insurance growth • Higher interest rates bringing higher financial income • Decreasing new vehicle and mortgaged home sales, pressuring retail segment • Higher premiums and improved UW Margin
Slide 13: Future Guidance
1. Aksigorta Financials (in TFRS) 2. What are the Risks & Opportunities? 3. Future Guidance 4. Appendix 15
Slide 14: 2019 targets are…
2019 targets are… 18-20% growth in GWP 35%-40% increase in Net Profit
Slide 15: … aligned with long term ambition
… aligned with long term ambition 1B $ +2pp Market Cap Market Share 95% 30+% Combined Ratio Return on Equity (Net) (ROE)
Slide 16: Appendix
1. Aksigorta Financials (in TFRS) 2. What are the Risks & Opportunities? 3. Future Guidance 4. Appendix 18
Slide 17: Summary Financial Statements in IFRS
Summary Financial Statements in IFRS 19Q1/ 19Q1/ Profit & Loss 18Q1 18Q2 18Q3 18Q4 19Q1 18Q1 19Q1 Balance Sheet 18Q1 18Q2 18Q3 18Q4 19Q1 18Q1 18Q4 GWP 932 744 770 971 1.058 932 1.058 14% Receivables 1.069 1.018 1.026 1.142 1.278 12% NEP 397 442 471 482 489 397 489 23% AUM 1.574 1.743 1.948 2.029 2.0
Slide 18: Capital Adequacy
Capital Adequacy Dec'17 Mar'18 Jun'18 Sep'18 Dec'18 Mar'19 Required Capital 510 571 573 588 615 672 Main drivers: Asset risk 225 258 241 233 232 277 by asset size RI risk 45 46 46 46 56 56 by re-insurance portfolio Reserve risk 46 49 55 63 68 73 by growth Uw risk 188 212 230 244 249 254 by growth Fx
Slide 19: Aksigorta Digital Assistant (ADA)
Aksigorta Digital Assistant (ADA) 21
Slide 20: Claims Management in Digital
Claims Management in Digital ClaimsChat is an automated WhatsApp group in order to bring all parties together when a customer has a claims notification. After several surveys, we have found that claims process is one of the most important moment of truth for Aksigorta. Within this process, we saw th
Slide 21: THANKS
THANKS Presented by AKSİGORTA Investor Relations Team, April 2019 19