Breaking even in Q4/20

 CIG Pannonia Life Insurance (Pannonia) broke even in Q4/20 reporting HUF - 10 mn after-tax profit compared to HUF -0.29 bn in the same period a year earlier and HUF -0.43 bn in Q3/20. The increase of after-tax profit on both YoY and QoQ basis was due to lower OpEx (-12% QoQ and -39% YoY predominantly driven by a decline of commissions).
 In 2020, the insurer’s consolidated profit after tax amounted to HUF 074 bn compared to HUF -0.64 bn in 2019, which was reduced by HUF 32 mn tax liability. EMABIT as non-life operation generated HUF 0.34 bn loss. We note that businesses up for sale generated profit before tax of HUF 0.79 bn in 2020. The overall comprehensive income came in at HUF 0.36 bn vs HUF 0.32 bn loss in 2019. Comprehensive income contains the decrease in the fair value of available-for-sale financial assets amounting to HUF 0.38 bn, of which HUF 0.35 bn is the unrealized loss on OPUS shares owned by the Group, while the remaining loss (HUF 31mn) arose from the unrealized loss on government bonds.