10.01.2013 |
- EBT improved to € 152.4 million
- Company plans EBT of approximately € 200 million for business year 2012
- Concentration on core business: Agreement reached to sell the Medicur stake
- Management board contracts eextended early to 31 December 2016
- New COO function in the holding company´s Management Board
UNIQA Group improved its earnings before tax (EBT) to € 152.4 million in the first nine months of 2012 (1-9/2011: minus € 173.8 million). Consolidated profit (after taxes and minority interests) was € 93.5 million (1–9/2011: minus € 119.6 million).
UNIQA Group’s target for 2012 was to improve EBT compared to 2010 (€ 141.8 million). It is confident of achieving this target. For the business year 2012 it plans an EBT of approximately € 200 million assuming that there are no major setbacks on the capital markets and that there is no negative impact from claims due to natural disasters.
UNIQA CEO Andreas Brandstetter: “In the first nine months of 2012, we achieved what we set out to do. We still have a great deal of work, but we are well on track, and we are consequently implementing our strategic program UNIQA 2.0.”
Results for 1-9/2012:
As UNIQA Group concluded the sale of its stake in the German Mannheimer Group in the 2nd quarter, these figures are no longer included in the following results on the basis of IFRS 5. Instead they are included as the result from discontinued operations.
The positive earnings trend in the first nine months of 2012 is based on sound core operating business. Recurring premiums – including the savings portion of the unit- and index-linked life insurance – increased by 1.3 per cent to € 3,767.3 million (1-9/2011: € 3,718.9 million). In the growth markets of Central and Eastern Europe (CEE), they rose by as much as 5.3 per cent to € 870 million (1-9/2011: € 825.9 million).
Total premiums written – including the savings portion of the unit- and index-linked life insurance – fell by 2.1 per cent to € 4,112.1 million (1- 9/2011: € 4,198.4 million). The industry-wide decline in single premiums was reflected in life insurance – particularly in Austria and Italy. Furthermore, UNIQA Group actively reduced its single premiums in Poland, instead focusing on more profitable business lines that also require the commitment of lower levels of risk capital.
The claims and benefits ratio across all business lines therefore increased by 3.4 percentage points to 73.8 per cent (1-9/2011: 70.4 per cent).
Owing to an increase in the number of major claims and claims due to natural disasters, the retained insurance benefits of UNIQA Group increased by 2.1 per cent to € 2,839.1 million in the nine months of 2012 (1-9/2011: € 2,779.9 million).
The loss ratio after reinsurance in property and casualty insurance increased in the first nine months of 2012 to 68.7 per cent (1-9/2011: 67.2 per cent).
Accordingly, the benefits ratio in health insurance fell to 83 per cent (1-9/2011: 83.4 per cent). In life insurance, it increased to 75.9 per cent (1-9/2011: 68.4 per cent).
Operating expenses (including reinsurance commissions received and profit shares from reinsurance business ceded) declined by 0.9 per cent to € 953.4 million (1-9/2011: € 961.8 million). While acquisition expenses (sales costs) rose by 4.5 per cent to € 687 million (1-9/2011: € 657.7 million) in line with new business volume, other operating expenses less reinsurance commissions received (operating costs) declined by 12.4 per cent to € 266.4 million (1- 9/2011: € 304.1 million) as a result of initial positive effects of the UNIQA 2.0 strategic programme.
The Group cost ratio after reinsurance rose to 24.8 per cent (1-9/2011: 24.3 per cent).
Due to the increased number of major claims and claims due to natural disasters, the combined ratio in property and casualty insurance after reinsurance increased slightly to 101 per cent in the first three quarters of 2012 (1-9/2011: 100 per cent). Before taking reinsurance into consideration, the gross combined ratio was still below the 100 per cent mark, amounting to 97.9 per cent (1-9/2011: 96.9 per cent).
The investments including unit- and index-linked life insurance investments increased by 5.7 per cent to € 25,996.6 million as of 30 September 2012 (31. December 2011: € 24,601.1 million). Net investment income rose by 403.2 per cent to € 621.3 million (1-9/2011: € 123.5 million; after write-down of PIIGS bonds).
Total equity of UNIQA Group increased by 74.6 per cent to € 1,912.6 million in the first nine months of 2012 compared to the last balance sheet date (31 December 2011: € 1,095.6 million). The solvency ratio (Solvency I) also rose strongly to 209.5 per cent (31 December 2011: 122.5 per cent). Earnings before tax increased to € 152.4 million (1-9/2011: minus € 173.8 million). Net profit amounted to € 131.6 million (1-9/2011: minus € 133.6 million).. This figure includes the result from discontinued operations (due to the disposal of the Mannheimer Group in the first six months of 2012) in the amount of € 9.9 million. Consolidated profit (after taxes and minority interests) was € 93.5 million (1-9/2011: minus € 119.6 million)
The average number of employees at UNIQA Group decreased to 14,557 (1-9/2011: 15,001) due to the disposal of the Mannheimer Group. Of this figure, 6,100 (1-9/2011: 6,120) were employed in sales, while the number of employees in administrative functions declined to 8,457 (1-9/2011: 8,881).
Concentration on core business – next measure:
As part of its UNIQA 2.0 growth strategy, UNIQA Group is focusing on its core business in its core markets. In the second quarter of 2012, it already completed the sale of its stake to the German Mannheimer Group and acquired the minority interests held by the European Bank for Reconstruction and Development (EBRD) in the UNIQA subsidiaries in Croatia, Poland and Hungary.
Now, UNIQA Group has reached an agreement with Raiffeisen-Holding Niederösterreich-Wien to sell its 25 per cent stake in Medicur Holding Gesellschaft m.b.H. to RH Anteilsverwaltung GmbH. Medicur bundles various holdings in media companies. Confidentiality on the purchase price has been agreed by the contractual parties.
The Management Board team:
The contracts of the members of the Management Boards of UNIQA Group’s main four companies – the listed holding company, UNIQA Österreich, Raiffeisen Versicherung and UNIQA International – were extended early until 31 December 2016. This secures continuity at the management level. The team which developed the UNIQA 2.0 strategy is largely the same team which will be responsible for its further implementation.
As of 1 January 2013 UNIQA Group will refine the governance structure between the holding company and the operating subsidiaries. The holding company focuses entirely on its function as a financial and management holding that runs groupwide activities. It is responsible for the following areas: Risk Management, Finance and Asset Management, Equity Holdings (including Real Estate), Group Audit, Legal Affairs, Compliance and Governance, steering the International Business, Processes and IT, Human Resources, Marketing and Communication.
The holding company provides support to the operating companies – UNIQA Österreich, Raiffeisen Versicherung and the international subsidiaries. As a result, they can concentrate fully on the business in their markets and business areas.
The members of the holding company’s Management Board, plus the Management Board Chairmen of UNIQA Österreich and Raiffeisen Versicherung – Hartwig Löger and Klaus Pekarek – make up the Group Executive Board, which coordinates the cooperation between the holding company and the operating companies. As the logical consequence of the refinement , UNIQA will propose Hartwig Löger to assume Andreas Brandstetter’s position as member of the Presidential Committee in the Austrian Insurance Association.
From 1 January 2013, the number of members on the Management Board of the listed holding company UNIQA Versicherungen AG will be reduced from six to five.
Andreas Brandstetter, Chief Executive Officer (CEO)
Hannes Bogner, Chief Financial Officer (CFO)
Kurt Svoboda, Chief Risk Officer (CRO)
Thomas Münkel, Chief Operating Officer (COO)
Wolfgang Kindl, UNIQA International
Regarding Operational Model and IT Systems, UNIQA Group is establishing the new function of Chief Operating Officer (COO) as of 1 January 2013. The COO has the task of aligning the processes and organisation across the Group to future requirements. This new position will be taken by Thomas Münkel. Münkel, 52, was most recently Chief Governance Officer at the Allianz Group. He has a high level of expertise in the international insurance business acquired in management positions at Allianz Group and Aachener und Münchener Group.
Gottfried Wanitschek, who has been responsible at the UNIQA Group for Corporate Business, Equity Holdings, Real Estate and Legal Affairs will leave the company at year-end by mutual agreement. Wanitschek was a Management Board member in the company since UNIQA was founded. He played a key role in developing UNIQA Group as one of the leading insurance companies not only in Austria but Central and Eastern Europe. Much of his activities in the holding company’s Management Board will be assumed by Hannes Bogner (Equity Holdings, Real Estate and Legal Affairs). Corporate Business will be the responsibility of UNIQA Austria and UNIQA International.
The top management of UNIQA Group is made up of the holding company’s Management Board and the Management Board members of the three most important subsidiaries. From 1 January 2013, the top management of UNIQA Group is made up of the following Management Board members:
UNIQA Österreich Versicherungen AG:
Hartwig Löger, CEO and Sales Management
Peter Eichler, Personal Insurance Management
Robert Wasner, Property Insurance Management
Silvia Harfmann, Process Management
Raiffeisen Versicherung AG:
Klaus Pekarek, CEO
Harald Chrstos, Sales Management
Peter Eichler, Personal Insurance Management
Robert Wasner, Property Insurance Management
Martin Sardelic, Process Management
UNIQA International:
Wolfgang Kindl, CEO, Central Europe (CE) and Western Europe (WE)
Johannes Porak, Bank Sales
Christian Schwarz, Eastern Europe (EE) and Poland
Zoran Visnjic, South Eastern Europe (SEE)
Premiums for 1-9/2012:
In the first nine months of 2012, current premiums – including the savings portion of unit- and index-linked life insurance – increased across the Group by 1.3 per cent to € 3,767.3 million (1-9/2011: € 3,718.9 million).In Austria current premiums declined by 1.3 per cent to € 2,658.6 million (1-9/2011: € 2,694.2 million). In the CEE current premiums rose by 5.3 per cent to € 870 million (1-9/2011: € 825.9 million). Recurring premiums of the companies in Western Europe (excluding the Mannheimer Group in Germany) saw strong growth of 20.1 per cent to € 238.8 million (1 -9/2011: € 198.7 million).
Total premiums written (recurring and single) – including the savings portion of the unit- and index-linked life insurance – fell in the first nine months of 2012 by 2.1 per cent to € 4,112.1 million (1-9/2011: € 4,198.4 million). This decline was due primarily to the strong downturn of single premiums across the life insurance industry in Austria, Poland and Italy. Single premiums fell by 28.1 per cent to € 344.7 million (1-9/2011: € 479.5 million). In Austria, the premium volume written moved down by 2.7 per cent to € 2,726.7 million (1-9/2011: € 2,801.2 million). In the CEE premium volume written rose slightly by 0.7 per cent to € 951.3 million (1-9/2011: € 944.3 million). In Western Europe they also declined, by 4.1 per cent to € 434.1 million (1-9/2011: € 452.8 million), due to a sharp decline in the Italian life insurance business.
In the first three quarters of 2012, total premiums written in property and casualty insurance increased by a total of 4.3 per cent to € 1,947.3 million (1-9/2011: € 1,866.6 million).While premiums in Austria increased by 2.3 per cent to € 1,137.4 million (1-9/2011: € 1,112.3 million), the premium volume at the Group companies in CEE grew by 3.2 per cent to € 672.4 million (1 -9/2011: € 651.5 million),In Western Europe, premiums written increased by 33.8 per cent to € 137.5 million as a result of the strong growth in Italy (1-9/2011: € 102.8 million).
Total premium volume written in health insurance increased by 3 per cent to € 680.1 million (1-9/2011: € 660.5 million). In Austria, the premium volume grew by 2.6 per cent to € 630 million (1-9/2011: € 613.7 million). In the CEE, the premium volume rose by 14.8 per cent to € 20 million (1-9/2011: € 17.5 million). In Western Europe, premiums moved up by 2.8 per cent to € 30.1 million (1-9/2011: € 29.3 million).
In life insurance, premiums written including the savings portion of unit- and index-linked life insurance decreased by 11.2 per cent to € 1,484.7 million in the first nine months of 2012 (1-9/2011: € 1,671.4 million). The main reason for this was the sharp decline in single premiums, by 28.1 per cent to € 344.7 million (1-9/2011: € 479.5 million). Recurring premiums deceased by 4.4 per cent to € 1,139.9 million (1-9/2011: € 1,191.9 million).
The annual premium equivalent (APE) in life insurance decreased by 5.3 per cent to € 1,174.4 million in the first nine months of 2012 (1-9/2011: € 1,239.8 million). As the average term of the single premiums in Europe is ten years, 10% per cent of the single premiums are included in the APE calculation. Annual fluctuations are evened out in this calculation.
In Austria total premiums written in life insurance declined by 10.8 per cent to € 959.3 million (1-9/2011: € 1,075.2 million). Recurring premiums fell by 8 per cent to € 891.2 million (1-9/2011: € 968.3 million) while single premiums declined by 36.4 per cent to € 68.1 million (1-9/2011: € 107 million).
In the CEE, premiums written in life insurance also declined due in particular to the planned reduction in single premium business in Poland. They moved back by 6 per cent to € 258.9 million (1-9/2011: € 275.4 million). In the CEE, single premiums declined by 31.3 per cent to € 81.3 million (1-9/2011: € 118.4 million). On the other hand, recurring premiums increased by 13.1 per cent to €177.6 million (1-9/2011: € 157 million),
In Western Europe, premiums written in life insurance fell by 16.9 per cent to € 266.5 million as a result of the decline in single premiums in Italy (1-9/2011: € 320.8 million). In Western Europe, single premiums declined by 23.1 per cent to € 195.4 million (1-9/2011: € 254.1 million). On the other hand, in Western Europe, recurring life insurance premiums rose by 6.7 per cent to € 71.1 million (1-9/2011: € 66.7 million).
Reservations concerning statements about the future
This message contains statements that refer to future developments in the UNIQA Group. 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, 10. January 2013