TOP Topdanmark A/S

Topdanmark Announcement of 2018 Annual Results

Topdanmark Announcement of 2018 Annual Results

TOPDANMARK ANNOUNCEMENT OF 2018 ANNUAL RESULTS

24 January 2019, Announcement No. 02/2019

Key features 2018

  • Post-tax profit of DKK 1,331m (2017: DKK 1,733m)
  • The profit of DKK 1,331m was better than assumed in the interim report for Q1-Q3 2018 where the profit forecast model was DKK 1,200-1,300m
  • Combined ratio: 83.6 (2017: 82.0)
  • Combined ratio excluding run-off profits: 87.5 (2017: 85.8)
  • Premiums increased 1.7% in non-life insurance and 18.6% in life insurance
  • Profit on life insurance was DKK 228m (2017: DKK 249m)
  • After return and revaluation of non-life insurance provisions, the investment return was DKK 16m (2017: DKK 396m).

Q4 2018

  • Post-tax profit of DKK 259m (Q4 2017: DKK 379m)
  • Combined ratio: 81.7 (Q4 2017: 82.1)
  • Combined ratio excluding run-off profits: 88.1 (Q4 2017: 86.3)
  • Premiums increased 0.2% in non-life insurance and 31.2% in life insurance
  • Profit on life insurance was DKK 45m (Q4 2017: DKK 42m)
  • After return and revaluation of non-life insurance provisions, the investment return was DKK 116m (loss)

    (Q4 2017: DKK 65m).

Earnings distribution for 2018

The Board of Directors will recommend to the AGM that a dividend of DKK 1,350m be distributed for 2018 representing DKK 15 per share issued. This represents a payout ratio of 101.5 and a dividend yield of 5.2.

Profit forecast model for 2019

  • As compared with the profit forecast model for 2019 in the interim report for Q1-Q3 2018, the assumed combined ratio for 2019 remains unchanged at 89-90 excl. run-off and incl. additional expenses of 0.5 to 1pp due to the investment in increased digitisation and automation
  • Despite the termination of the distribution agreement with Danske Bank, a higher premium growth is expected in 2019 compared to actual growth in 2018
  • The post-tax profit forecast model for 2019 amounts to DKK 1,000-1,100m, excluding run-off.

Webcast

In a , Steffen Heegaard, Group Communications and IR Director, 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 annual report and the webcast. The call will be held in English.

In order to participate in the conference call, please call 10-15 minutes before the conference on one of the telephone numbers:

DK dial-in-number:

UK dial-in-number: 4

US dial-in-number:

and ask the operator to connect you to the Topdanmark conference call – or listen to the  of the call.

Please direct any queries to:

Peter Hermann

Chief Executive Officer

Direct tel.:

Lars Thykier

Chief Financial Officer

Direct tel.:

Steffen Heegaard

Group Communications and IR Director

Direct tel.:

Mobile tel:



 

Attachment

EN
24/01/2019

Underlying

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