2020 Presentation 6M2020 Grupo Catalana Occidente Table of - PowerPoint PPT Presentation

2020 Presentation 6M2020 Grupo Catalana Occidente

Table of contents 01 Keys for the period 02 Economic results 6M2020 • Income statement • Capital. investments and solvency 03 Calendar and annexes @gco_news Download our App Presentation based on the report data at 6M2020 published on 30/07/2020 2

Keys for the period 3

01 Key financial figures Economic and sectoral environment impacted by COVID- 19 +3.5% Turnover � 149.3M Attributed result 6M 2020 � 4.457.9M permanent resources at market value Commitment to shareholder 4

01 Global economic environment COVID-19. Strong negative impact of the pace of business activity. Global +3.6% 18 +2.9% 19 +3.3% 20e Eurozone GDP -4.9% 20e +1.9% 18 +1.2% 19 +1.3% 20e Post COVID-19 update GDP - 10.2% 20e Post COVID-19 update United States +2.9% 18 +2.3% 19 +2.0% 20e Spain GDP -8.0% 20e +2.4% 18 +2.0% 19 +1.6% 20e Post COVID-19 update GDP Post COVID-19 update -12.8% 20e Latam +1.1% 18 +0.1% 19 +1.6% 20e Emerging economies and GDP in development of Asia Post COVID-19 update -9.4% 20e +6.4% 18 +5.5% 19 +5.8% 20e GDP Post COVID-19 update -0.8% 20e Source: IMF. January 2019 report. Last reviewed July 2020 5

01 Financial markets Less accommodative monetary policy and high market volatility caused by COVID-19. Interest rates 0.7 0.5 -0.5 0.2 -0.5 -0.6 2008 2010 2012 2014 2016 2018 2020 2008 2010 2012 2014 2016 2018 2020 2008 2010 2012 2014 2016 2018 2020 Spain Bond 10 years Spain bond 1 year Germany bond 10 years Germany bond 1 year USA bond 10 years USA bond 1 year Stock Exchange Revaluation 6M2020 S&P -4.0% MSCI World -6.7% Euro Stoxx 50 -13.6% Ibex 35 -24.3% 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 MSCI World IBEX35 S&P EURO STOXX 50 Source: Bloomberg. Updated July 2020 6

01 Spanish Insurance Sector Maintains growth in non-life and remains under pressure in life savings Insurance sector premiums ( � million) Insurance sector technical result ( � million) 64.282 64.155 55.777 5.578 5.098 -0.4% +1.3% -2.8% -0.7% 2.1% 12.2% -0.7% 2013 2014 2015 2016 2017 2018 2019 2013 2014 2015 2016 2018 2019 2017 Employees % solvency II ratio Stability in results 241% 237% 237% 234% 226% ROE Combined ratio 47.693 46.557 13.5% 92.0% Motor 94.8% Multi-risk 94.0% Health 94.6% 2012 2013 2014 2015 2016 2015 2016 2017 2018 2019 2017 2018 Insurance sector premiums 6M2020: -11.1% Life -26.0% Non life +0.4% +5.0% +2.9% +0.1% -1.7% -3.0% -32.0% Risk Savings Motor Health Multi-risk Others Source: ICEA July 2020 7

01 Key financial figures Economic and sectoral environment impacted by COVID- 19 +3.5% Turnover � 149.3 M Attributed result 6M 2020 � 4.457.9M permanent resources at market value Commitment to shareholder. 8

01 Grupo Catalana Occidente at 6M2020 (figures in � million) % Chg. Income 6M2019 6M2020 19-20 +1.2% Traditional business 1.385.8 1.499.0 8.2% Pro forma increase Recurring premiums 1.215.1 1.350.8 11.2% Recurring premiums Single premiums life 170.7 148.2 -13.2% Credit insurance business 1.051.1 1.023.4 -2.6% Turnover 2.522.4 3.5% 2.436.9 (figures in � million) Results % Chg. 6M2019 6M2020 19-20 Recurring Results Traditional Business 116.3 128.8 10.7% Recurring Results from Credit Insurance Business 118.9 35.8 -69.9% � 149.3 M Non-Recurring Result -8.8 -9.0 Consolidated result 226.4 155.6 -31.3% Attributed result Attributed Result 206.5 149.3 -27.7% 9

01 GCO: Actions during the COVID-19 crisis Employee protection and operational support. • Ensure employee protection and continuity of work. Telework for all our employees. • Operational continuity in extreme conditions. • Maintenance of customer service. • Proactive in our relationship with the customer through telematic means. • Continuity in customer service for expert reports. repairs. agency offices. … • • Measures aimed at traditional business. Flexibility in payment of receipts. instalments and deferment. • Adaptation of prices according to the circumstances of the risk and the customer. • 24 hour medical guidance for ALL our customers. • • Measures aimed at the credit insurance business. Flexibility in payment of receipts. instalments and deferment. • Flexibility in the period of declaration of non-payment. extending it by 30 days. • Discussions with the different governments to support commercial activity through credit insurance. • • Measures to support society Participation with UNESPA in a fund to protect healthcare professionals facing COVID-19. • The Jesús Serra Foundation collaborates with Save the Children and supports the CSIC for research in a future • vaccine. Creation of an innovation programme to overcome the health challenges involved: Beat the Vid. • The Group supports more than 20.000 suppliers affected by COVID-19 through interest-free advances. • 10

01 Diversification Grupo Catalana Occidente 12M2019 Balanced portfolio. complete offer Traditional business 57.4% Credit insurance 42.6% Life 21.6% Other 6.9% Motor 14.5% Multi-risk 14.5% Credit insurance 3..4% Information services 3.0% Surety insurance 3.0% Inward reinsurance 3.2% 31.8% retained business _____________________ 11

01 Global presence In over 50 countries Southern Western Europe Central and Asia and rest Europe 3.7% Northern of the world 14.9% Europe 3.0% 9.6% America 3.0% Spain 1.600 offices 65.9% Through 17.300 intermediaries 7.400 employees 12

01 Key financial figures Economic and sectoral environment impacted by COVID- 19 +3.5% Turnover � 149.3M Attributed result 6M 2020 � 4.457.9M permanent resources at market value Commitment to shareholder 13

01 Evolution of the share price Grupo Catalana Occidente shares close the second quarter of 2020 at � 20.5/share 36.9 32.6 31.2 32.0 31.1 24.0 27.5 26.0 22.9 20.5 14.7 15.7 14.5 12.9 13.8 12.3 8.8 4.9 3.9 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 TACC Profitability (YTD) 6M2019 6M2020 2002 - 6M20 GCO -0.31% -34.19% 9.78% Ibex 35 7.72% -24.27% 0.98% EuroStoxx Insurance 16.36% -22.58% 2.51% * Annual Compound Growth Rate 14

01 Commitment to our shareholder. Commitment to shareholder. Maintenance of first interim dividend on 2020 results compared to the previous year 3.22 2.93 2.73 2.46 2.23 2.02 1.84 1.75 1.67 1.51 0.87 0.84 60% 34% 33% 28% 34% 28% 30% 32% 31% 29% 25% 0.57 0.51 0.51 0.52 0.72 0.78 0.82 21% 0.57 0.59 0.67 0.63 0.68 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Dividend per share Profit per share Pay-out July 2019 � 19.06 million 15

Information 6M2020 16

Income statement Traditional business Credit insurance business Capital. investments and solvency 17

02 Traditional business +11.2% � 1.350.8 million +15.7% � 132.2 million +10.7% � 128.8 million Recurring premiums Technical result Recurring result * Proforma recurring premiums + 1.2%: for 2019 includes integrated Antares 12 months Traditional business distribution Life-Single 11.8% Multi-risk 24.8% Funerals 5.2% Health 5.2% Motor 24.1% Life-Periodic 17.6% Others 11.4% Combined ratio Commissions + Traditional 29,6% expenses business (-0.4 p.) 88.4 % Technical cost 58,9% (-0.8 p.) (-0.4 p.) 18

02 Traditional business. Multi-risk Written Combined ratio premiums 87.4% +3.7% (figures in � million) 6M2019 6M2020 % Chg. Multi-risk 12M2019 19-20 Written premiums 355.0 368.1 3.7% 661.6 % Technical cost 53.2% 53.7% 0.5 55.3% % Commissions 20.9% 21.2% 0.3 20.9% % Expenses 13.0% 12.5% -0.5 13.3% % Combined ratio 87.1% 87.4% 0.3 89.5% Technical result after expenses 41.6 41.7 0.2% 68.6 % on earned premiums 12.9% 12.6% 10.5% 331.8 3.0% Earned premiums 322.2 653.3 19

02 Traditional business. Motor Written Combined ratio premiums 91.3% -0.1% (figures in � million) 6M2019 6M2020 % Chg. Motor 12M2019 19-20 Written premiums 351.6 351.3 -0.1% 657.3 % Technical cost 69.5% 67.7% -1.8 70.0% % Commissions 11.1% 11.1% 0.0 11.1% % Expenses 12.9% 12.5% -0.4 12.9% % Combined ratio 93.5% 91.3% -2.2 94.0% Technical result after expenses 20.9 28.3 35.4% 39.6 % on earned premiums 6.5% 8.7% 6.0% 325.5 0.8% Earned premiums 323.0 655.2 20

02 Traditional business. Others Written premiums Combined ratio 84.6% -0.5% (figures in � million) 6M2019 6M2020 % Chg. Others 12M2019 19-20 Written premiums 175.7 174.9 -0.5% 311.7 % Technical cost 50.3% 51.2% 0.9 50.1% % Commissions 20.6% 19.5% -1.1 20.1% % Expenses 13.7% 13.9% 0.2 14.3% % Combined ratio 84.7% 84.6% -0.1 84.6% Technical result after expenses 23.7 23.7 0.1% 48.0 % on earned premiums 15.3% 15.4% 15.4% 153.7 -0.8% Earned premiums 154.9 311.8 21