Conference Call 3Q18

Transcription

1 Conference Call 3Q18

2 Consolidated Revenue 3Q18 / 9M18 3Q18 3Q17 Δ 2Q18 Δ 9M18 9M17 Δ Health & Dental 4, , % 3, % 11, , % Auto % % 2, , % Other Property & Casualty % % % Life & Personal Accident % % % Insurance Operating Revenues 5, , % 4, % 14, , % Private Pension % % % Savings Bonds % % % Administrative Service Only % % % Asset Management % % % Other Revenues % % % Other Operating Revenues % % % Total 5, , % 5, % 15, , % 2

3 Consolidated Revenue 9M18 Operating Revenues (% of total) 9M18 9M17 Other Revenues (4.0%) 16.6% 2.3% 3.0% 0.3% 0.3% 0.2% 1.0% 0.2% Other Revenues (4.2%) 2.4% 3.1% 0.3% 0.3% 1.0% 0.2% 0.4% 16.7% R$15.2 billion 76.0% R$13.4 billion 75.6% Insurance Revenues (96.0%) Insurance Revenues (95.8%) Health & Dental Automobile Other Property & Casualty Life & Personal Accident Private Pension Savings Bonds Administrative Services Only Asset Management Other Revenues 3

4 Highlights 3Q18 / 9M18 3Q18 3Q17 Δ 2Q18 Δ 9M18 9M17 Δ Operating Revenues 5, , % 5, % 15, , % Insurance Operating Revenues 5, , % 4, % 14, , % Loss Ratio (%) 74.2% 76.3% 210 BPS 77.4% 320 BPS 76.0% 77.9% 190 BPS Operating Gross Margin (1) (%) 13.0% 10.0% 300 BPS 9.8% 320 BPS 11.0% 8.8% 220 BPS General & Administrative Expenses (1) (%) 8.6% 8.6% 0 BPS 8.5% 0 BPS 8.4% 8.8% 50 BPS Investment Income % % % Combined Ratio 95.9% 99.1% 310 BPS 98.9% 300 BPS 97.8% 100.9% 310 BPS Operating Ratio 93.0% 94.7% 180 BPS 95.5% 260 BPS 94.6% 96.0% 140 BPS Net Income % % % ROAE (2) (%) 16.0% 13.1% 300 BPS 15.1% 90 BPS (3) (1) Calculated as ratio of total operating revenues (2) ROAE = Recurring net income (last 12 months) / Average Shareholders Equity 4 (3) 3Q18 vs 2Q18 change of -3 BPS

5 Health & Dental Operating Revenues Loss Ratio (% earned premiums) +12.4% 10, % 11, % 72.8% +190 BPS 81.1% 82.8% 78.9% +120 BPS 82.0% 80.9% 3, , Q17 4Q17 1Q18 2Q18 3Q18 9M17 9M18 Gross Margin Members (thousand) +28.5% +4.4% +11.6% % , ,019 3,168 3,219 3,228 3,370 3, ,031 1,054 1,050 1, ,098 1,116 1,129 1,143 1,131 1,098 1, ,370 1,197 3Q17 4Q17 1Q18 2Q18 3Q18 9M17 9M18 Corporate/Affinity Health SME Health Individual Health ASO (Health) Dental 5

6 Automobile Insurance Operating Revenues 1 Loss Ratio (% earned premiums) +7.1% +12.8% 2, , % 60.0% +470 BPS 62.0% 60.4% 58.2% +710 BPS 67.3% 60.2% Q17 4Q17 1Q18 2Q18 3Q18 9M17 9M18 Gross Margin % Insured Fleet (Vehicles - thousand) +2.2% +8.0% +59.5% 1,498 1,511 1,513 1,583 1,618 1,498 1, Q17 4Q17 1Q18 2Q18 3Q18 9M17 9M18 6 (1) Does not consider Other Revenues from the Automobile segment

7 Other Property & Casualty Insurance Operating Revenues 1 Loss Ratio (% earned premiums) -7.1% +5.0% % 42.6% -1,270 BPS 35.5% 39.4% 39.7% -690 BPS 31.4% 38.2% Q17 4Q17 1Q18 2Q18 3Q18 9M17 9M18 Gross Margin Massified Portfolio 9M18 (% of operating revenues) -24.7% 24.6% % R$134 million 36.6% Homeowners (379k homes) Condominium (38k buildings) 38.8% Small Business (44k businesses) 7 (1) Does not consider Other Revenues from Other Property and Casualty segment. 7

8 Life & Personal Accident Insurance Operating Revenues 1 Loss Ratio (% earned premiums) +9.1% +8.1% % 52.5% +160 BPS 39.4% 42.2% 45.7% 45.0% +250 BPS 42.5% Q17 4Q17 1Q18 2Q18 3Q18 9M17 9M18 Gross Margin Portfolio 9M18 (% of operating revenues) % % % 3.8% 5.9% 17.2% R$352 million % Individual Group Life Credit Life Casualty Lump Sum Travel 8 (1) Does not consider Other Revenues from the Life segment

9 9 9 Private Pension Operating Revenues Pension Reserves +12.5% , % 6, % , % 2, % % % % 4.9 3Q17 3Q % % M17 9M18 2, % 3,037 1, % 1,420 9M17 9M18 Traditional PGBL VGBL Traditional PGBL VGBL

10 10 10 Savings Bonds Operating Revenues +2.9% Reserves +3.1% % Q17 3Q18 Gross Margin -66.1% %

11 Asset Management Assets Under Management (R$ billion) % % 6.9 Assets Allocation Third Party (% of assets under management) 3.6% 1.0% % % % R$22.9 billion 47.2% 9M17 9M18 Third-Party Proprietary Private Pension Fixed Income and Private DI Equities & Investments Clubs Multi-Strategy Other Operating Revenues +20.7% % Q17 3Q18 9M17 9M18 Management Fee Performance Fee 11 11

12 General & Administrative Expenses General & Administrative Expenses General & Administrative Expenses Ratio (% of total revenues) -7.1% 1, , BPS 0 BPS 8.8% -10.7% 8.6% 8.6% 8.4%

13 Investment Portfolio 5.5% Investment Strategy (Ex-pension) 8.7% 0.7% R$9.5 billion 0.8% Investment Allocation (Ex-pension) 0.7% 0.8% 8.8% R$9.5 billion 84.3% 89.6% Floating Interest Rate (Selic/CDI) Fixed-rate Other Inflation-linked (IPCA) Equities Brazilian Government Securities Corporate Debt Equities Other Investment Strategy (Total portfolio) 7.5% 7.2% 1.7% 0.5% Investment Allocation (Total portfolio) 14.3% 1.7% 0.5% 16.7% Floating Interest Rate (Selic/CDI) Inflation-linked (IGPM) Equities R$16.4 billion 66.4% Inflation-linked (IPCA) Fixed-rate Other R$16.4 billion 83.5% Brazilian Government Securities Corporate Debt Equities Other 13

14 Investor Relations This presentation may include declarations which represent forward-looking expectations about events or future results in accordance with Brazilian securities regulation. These declarations are based on certain premises and analyses that are completed by SulAmérica ( Company ), representing exclusively the expectations of management relative to the future of the business and the continued access to resources to finance the business plan of the Company. Further, the real results of the Company and its controlled entities may differ significantly or implicitly from those declarations of expectations about events or future results. Such future considerations, depend, substantially, on changes in market conditions, government regulation, competitive pressures, sector and Brazilian economic performance, among other factors, aside from the risks presented in the reported documents by SulAmérica and are, therefore, subject to change without any prior notice. The information contained in this presentation was not independently verified. No investment decision should be based on the validity, accuracy, or totality of the information contained in this presentation. No advisors to the Company or its affiliates or representatives will have any responsibility for any losses should they occur as a result of the utilization of the content from this presentation. This presentation and its contents are the property of the Company and, therefore, should not be disseminated or reproduced partially or entirely without the consent of SulAmérica.