30.04.2009 |
- IFRS Group premiums up 10.4% to €5,825 million
- Greatest growth evident in Eastern Europe with a rise in premiums of 56.7%
- Clear improvement in technical core business due to positive trends in cost and loss ratios
- Combined ratio (gross) improved 4.5% points to 94.2%
- Upheaval on the financial markets has a negative effect on financial profits, pushing the results down to €90 million
- Dividends planned: 40 cents
- Premiums up in the first months of 2009
The UNIQA Group continued to grow noticeably in the 2008 financial year. A premium volume written of €5,825 million corresponds to a considerable 10.4% increase. Most obvious, as in the year before, were the growth impulses from Eastern and South-Eastern Europe, where the UNIQA Group was able to increase premiums by 56.7%. Combined with a further improvement in the loss and cost tangent, UNIQA has successfully managed to continue to noticeably strengthen the foundation in its technical core business. On the other hand, UNIQA has not been spared the effects of the growing world financial crisis and the massive upheaval on the capital markets and must accept a drop in profits down to €90 million as a result of the reduced return on capital.
Clear acceleration in premium growth of 10.4% In 2008, the UNIQA Group was able to achieve a growth of 10.4% to €5,825 million (2007: €5,276 million) in the consolidated premium volume written (including the savings portion from the unit-linked and index-linked life insurance) - making growth dynamics almost three times higher than in 2007 (+3.6%). The strong growth impulses came here from a 56.7% rise to €1,279 million (2007: €816 million) in the markets of Central and Eastern Europe (Poland, Czech Republic, Slovakia, Hungary, Croatia, Bosnia and Herzegovina, Serbia, Montenegro, Bulgaria, Ukraine, Romania). This means that UNIQA grew from within in all the countries of the region - and this at a rate that was obviously faster than the markets as a whole. In the Western European countries (Germany, Italy, Switzerland, Liechtenstein) the UNIQA companies managed to increase premiums by 0.5% to €947 million (2007: €942 million), despite the deterioration in single premium business in Italy. Most of the premiums in the UNIQA Group continue to be generated in Austria, the Group's main market. Premiums could be increased here in 2008 by 2.3% to €3,599 million (2007: €3,517 million) - this puts the increase within the span of market growth. UNIQA Group's gross insurance benefits sank in 2008, despite the storm claims and the rise in business volume, by 4.8% to €3,704 million (2007: €3,892 million). Thus, a trend that has been going on for years could be continued and the loss ratio once again reduced - in 2008 it was 64.0%, following 74.3% in the previous year.
Upheaval on the financial markets reduces financial results The UNIQA Group's aggregate investments sank slightly in 2008 by 0.9% to €21,342 million (2007: €21,544 million). Net investment income was down as a result of the global financial crisis to €189 million (2007: €955 million). However, the investment results of the year 2007 were positively influenced by the exceptional amount of €177 million from the two capital increases of STRABAG SE.
Group profit is €90 million / 40 cent dividend proposed In the 2008 financial year, the profit on ordinary activities of the UNIQA Group fell by 73.5% primarily due to the heavily declining revenues from investments to reach €90 million (2007: €340 million). Adjusted for the special effect from the stake in STRABAG SE in the year 2007, the pre-tax results declined by about 45%. The Management Board will propose a dividend of 40 cents per share (2007: 50 cents) to the Supervisory Board and the Annual General Meeting.
Segments The life insurance premium volume written, including the savings portion of unit-linked and index-linked life insurance, could be increased in 2008 by 14.1% to €2,476 million (2007: €2,170 million). In the property and casualty insurance segment, group premiums were up by an impressive 9.3% to € 2,401 million (2007: € 2,198 million). The gross combined ratio sank as a result of the lowered cost and loss ratios on the group level, to 94.2% (2007: 98.7%). Adjusted for the benefits paid out due to the storms Paula and Emma, this figure is only at 92.1%. In comparison to the previous year, premiums written in health insurance increased in 2008 by 4.4% to €948 million (2007: €908 million).
Current business year The premium growth in the first two months of 2009 in property and casualty insurance was 4.5%, in health insurance 3.7% and in life insurance 0.8%. In total, growth in the first months came to about 3.2%. While premiums in Austria increased by 1.5%, growth in the international markets was significantly stronger at 6.5%.
Outlook Because of the continuing volatility in the capital and currency markets as well as the uncertainties about the extent and duration of the general economic downturn, it is not presently possible to make a reliable forecast for the current financial year or beyond.
Reservations concerning statements about the future This message contains statements that refer to future developments in the UNIQA Group Austria. These statements are appraisals that are made based on all information available to us at the current point in time. If the assumptions on which they are based do not occur, the actual events may vary from the results currently expected. For this reason, we cannot accept liability for these statements.
Vienna, 30. April 2009