23.10.2020 12:00:14 CEST | Topdanmark A/S |
Delårsrapport/Periodemeddelelse (Q1 og Q3)
23. oktober 2020
Med. nr. 11/2020
TOPDANMARK INTERIM REPORT FOR Q1-Q3 2020
Key features
Q1-Q3 2020
Post-tax profit of DKK 553m (Q1-Q3 2019: DKK 1,115m)
EPS was DKK 6.3 (Q1-Q3 2019: DKK 12.8)
Combined ratio: 87.0 (Q1-Q3 2019: 82.1)
Combined ratio excluding run-off: 88.5 (Q1-Q3 2019: 87.0)
Premiums increased by 2.8% in non-life insurance and by 3.6% in life insurance.
Profit on life insurance was DKK 44m (Q1-Q3 2019: DKK 291m).
After return on non-life insurance provisions, the investment return was DKK 240m (loss) (Q1-Q3 2019: DKK 51m (loss)).
Q3 2020
Post-tax profit of DKK 357m (Q3 2019: DKK 285m)
EPS was DKK 4.1 (Q3 2019: DKK 3.3)
Combined ratio: 89.8 (Q3 2019: 84.9)
Combined ratio excluding run-off profits: 91.2(Q3 2019: 88.6)
Premiums increased by 2.9% in non-life insurance and decreased by 23.4% in life insurance.
Profit on life insurance was DKK 69m (Q3 2019: DKK 72m).
After return on non-life insurance provisions, the investment return was DKK 146m (Q3 2019: DKK 47m (loss)).
Profit forecast model for 2020
The assumed combined ratio for 2020 is improved from 88-89 to about 88, excluding run-off in Q4 2020.
The assumed premium growth for non-life insurance is improved from 2-3% to about 3%.
The model post-tax profit forecast for 2020 is improved from DKK 550-750m to DKK 750-850m, excluding run-off in Q4 2020.
Half of the dividend for 2019 is still postponed until the AGM in March 2021
Following the Danish FSA’s recommendation, Topdanmark’s Board of Directors has decided to postpone paying out the remainder of the dividend for 2019 until the AGM on 25 March 2021. It is still the intention to distribute in part or in full the remaining DKK 8.5 of the previously announced dividend of DKK 17 per share.
Assumptions for 2021
Premium growth in non-life of just above 3%, and a combined ratio of about 90, excluding run-off, are assumed for 2021.
The assumed combined ratio for 2021 of about 90 excluding run-off is, compared with 2020, negatively impacted by increased investments in Topdanmark’s efficiency programme (1.0pp) and by lower interest rates (0.3pp).
Efficiency programme
The main focus areas of Topdanmark’s efficiency programme are:
Automation/digitalisation of routine-based processes
Risk and pricing
Procurement
It is expected that the level of efficiency gains will absorb the increase in the level of depreciation with a clear margin in the coming years.
Other events
In Q3, Topdanmark launched its first external branding campaign in many years. The objective is to support Topdanmark’s premium brand in a digital reality. Based on a long-standing customer-centric brand strategy, Topdanmark launched its brand promise ‘We’re here to help’.
In Q3, Sydbank announced that the bank will terminate the distribution agreement with Topdanmark. The terms of the termination are yet to be negotiated. The termination will not affect the assumed growth for 2020 and will only have a marginal negative impact on growth in 2021.
Webcast
In a webcast Group Communications and IR Director, Steffen Heegaard, will present the financial highlights and comment on the forecast.
Conference call
A conference call will be held today at 15:30 (CET) where Peter Hermann, CEO and Lars Thykier, CFO will be available for questions based on the interim report and the webcast. The call will be conducted in English.
In order to participate in the conference call, please call:
DK dial-in-number: +45 78 72 32 52
SE dial-in-number: +46 856 642 704
UK dial-in-number: +44 333 300 9260
US dial-in-number: +1 646 722 4956
10-15 minutes before the conference and ask the operator to connect you to the Topdanmark conference call – or listen to the live transmission of the call.
Please direct any queries to:
Peter Hermann
Chief Executive Officer
Direct tel.: +45 4474 4450
Lars Thykier
Chief Financial Officer
Direct tel.: +45 4474 3714
Steffen Heegaard
IR Director
Direct tel.: +45 4474 4017, mobile tel.: +45 4025 3524
Kontakter
Steffen Heegaard, Kommunikations- og IR-direktør, 44 74 40 17
Lars Thykier, Koncerndirektør, 44 74 37 14
Om Topdanmark A/S
Topdanmark er et af landets største forsikrings- og pensionsselskaber.
I mere end 100 år har vi hjulpet vores kunder med at passe på det, der betyder mest. Forebygge og begrænse skader. Sikre økonomisk tryghed før og efter pensionsalderen. Til gavn for både mennesker og miljø.
Det gør os til en attraktiv virksomhed – ikke kun for vores kunder, men også for vores medarbejdere, aktionærer og verden omkring os.
Læs mere om Topdanmark på topdanmark.com
Vedhæftninger
Q1-Q3 2020 Report.pdf
23.10.2020 12:00:14 CEST | Topdanmark A/S |
Interim report (Q1 and Q3)
TOPDANMARK INTERIM REPORT FOR Q1-Q3 2020
23 October 2020
Announcement no. 11/2020
Key features
Q1-Q3 2020
Post-tax profit of DKK 553m (Q1-Q3 2019: DKK 1,115m)
EPS was DKK 6.3 (Q1-Q3 2019: DKK 12.8)
Combined ratio: 87.0 (Q1-Q3 2019: 82.1)
Combined ratio excluding run-off: 88.5 (Q1-Q3 2019: 87.0)
Premiums increased by 2.8% in non-life insurance and by 3.6% in life insurance.
Profit on life insurance was DKK 44m (Q1-Q3 2019: DKK 291m).
After return on non-life insurance provisions, the investment return was DKK 240m (loss) (Q1-Q3 2019: DKK 51m (loss)).
Q3 2020
Post-tax profit of DKK 357m (Q3 2019: DKK 285m)
EPS was DKK 4.1 (Q3 2019: DKK 3.3)
Combined ratio: 89.8 (Q3 2019: 84.9)
Combined ratio excluding run-off profits: 91.2(Q3 2019: 88.6)
Premiums increased by 2.9% in non-life insurance and decreased by 23.4% in life insurance.
Profit on life insurance was DKK 69m (Q3 2019: DKK 72m).
After return on non-life insurance provisions, the investment return was DKK 146m (Q3 2019: DKK 47m (loss)).
Profit forecast model for 2020
The assumed combined ratio for 2020 is improved from 88-89 to about 88, excluding run-off in Q4 2020.
The assumed premium growth for non-life insurance is improved from 2-3% to about 3%.
The model post-tax profit forecast for 2020 is improved from DKK 550-750m to DKK 750-850m, excluding run-off in Q4 2020.
Half of the dividend for 2019 is still postponed until the AGM in March 2021
Following the Danish FSA’s recommendation, Topdanmark’s Board of Directors has decided to postpone paying out the remainder of the dividend for 2019 until the AGM on 25 March 2021. It is still the intention to distribute in part or in full the remaining DKK 8.5 of the previously announced dividend of DKK 17 per share.
Assumptions for 2021
Premium growth in non-life of just above 3%, and a combined ratio of about 90, excluding run-off, are assumed for 2021.
The assumed combined ratio for 2021 of about 90 excluding run-off is, compared with 2020, negatively impacted by increased investments in Topdanmark’s efficiency programme (1.0pp) and by lower interest rates (0.3pp).
Efficiency programme
The main focus areas of Topdanmark’s efficiency programme are:
Automation/digitalisation of routine-based processes
Risk and pricing
Procurement
It is expected that the level of efficiency gains will absorb the increase in the level of depreciation with a clear margin in the coming years.
Other events
In Q3, Topdanmark launched its first external branding campaign in many years. The objective is to support Topdanmark’s premium brand in a digital reality. Based on a long-standing customer-centric brand strategy, Topdanmark launched its brand promise ‘We’re here to help’.
In Q3, Sydbank announced that the bank will terminate the distribution agreement with Topdanmark. The terms of the termination are yet to be negotiated. The termination will not affect the assumed growth for 2020 and will only have a marginal negative impact on growth in 2021.
Webcast
In a webcast Group Communications and IR Director, Steffen Heegaard, will present the financial highlights and comment on the forecast.
Conference call
A conference call will be held today at 15:30 (CET) where Peter Hermann, CEO and Lars Thykier, CFO will be available for questions based on the interim report and the webcast. The call will be conducted in English.
In order to participate in the conference call, please call:
DK dial-in-number: +45 78 72 32 52
SE dial-in-number: +46 856 642 704
UK dial-in-number: +44 333 300 9260
US dial-in-number: +1 646 722 4956
10-15 minutes before the conference and ask the operator to connect you to the Topdanmark conference call – or listen to the live transmission of the call.
Please direct any queries to:
Peter Hermann
Chief Executive Officer
Direct tel.: +45 4474 4450
Lars Thykier
Chief Financial Officer
Direct tel.: +45 4474 3714
Steffen Heegaard
IR Director
Direct tel.: +45 4474 4017, mobile tel.: +45 4025 3524
Contacts
Steffen Heegaard, Group Communication and IR Director, +45 44 74 40 17
Lars Thykier, CFO, + 45 44 74 37 14
About Topdanmark A/S
Topdanmark is one of the country’s largest insurance and pension companies.
For more than 100 years, we have helped our customers care for what matters the most. Prevent and limit damages. Secure financial security before and after retirement. For the benefit of both people and the environment.
It makes us an attractive company – not only for our customers, but also for our employees, shareholders and the world around us.
Find more information about Topdanmark on topdanmark.com
Attachments
Q1-Q3 2020 Report.pdf
