Summary of financial results for the period 1-12/2014 Harel - - PowerPoint PPT Presentation

March 2015 Harel Insurance Investments & Financial Services Ltd.

Summary of financial results for the period 1-12/2014

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Harel Insurance Investments & Financial Services Ltd

Disclaimer

This document has been prepared by Harel Insurance Investments and Financial Services Ltd. (hereinafter: the Company) solely for the purpose of presenting the Company's business. The information contained in this document has not been independently verified. No representation or warranty has been expressed or implied and there should be no reliance on the fairness, accuracy, completeness or correctness of the information or opinions contained herein. Neither the Company nor any of its employees or representatives shall bear any liability whatsoever (whether due to negligence or otherwise) for any loss howsoever resulting from using this document or its content or otherwise arising in connection with this document. This document is provided solely for your information and may not be reproduced, distributed or forwarded, directly

• r indirectly, in any form to any other person, nor published, wholly or partially, for any purpose. This document

contains information that under Israel’s Securities Law, 5728-1968, may be deemed or considered Inside Information

• f Harel Insurance Investments & Financial Services Ltd. Any use of Inside Information is illegal. Distribution of this

document may be restricted by law and persons receiving this document should be aware of such restrictions and

• bserve them accordingly. In receiving this report you agree to be bound by the foregoing instructions.

Statements concerning the Company’s future business, financial position and results of operations are subject to risks and uncertainties, which may cause actual results to differ materially from those forecast. Such forward-looking information includes, but is not limited to, product demand, pricing, changing economic conditions, product and technology development risks, the effect of the Company's accounting policies as well as certain other risk factors which are specified from time to time in the Company's reports to the Securities Authority.

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Harel Insurance Investments & Financial Services Ltd

Comprehensive income after tax and ROE in NIS million (in annual terms)

705 686 533

2012 2013 2014

Comprehensive income Return on Equity

18% 16% 11%

2012 2013 2014

* Including an increase in the insurance liabilities in respect of revised discounting interest rates and LAT, in the amount of NIS 176 million after tax.

*

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Harel Insurance Investments & Financial Services Ltd 2014 2013

% Increase

2012 3,797 3,810 0% 3,297 Life assurance 3,571 3,192 12% 2,850 Health insurance 3,198 3,103 3% 2,906 Non-life insurance 215 177 22% 172 Insurance companies overseas 10,781 10,282 5% 9,225 Total 4,874 4,121 18% 3,234 Pension contributions 1,754 1,593 10% 1,438 Provident contributions Total 17,409 15,996 9% 13,897

Earned premiums and benefit contributions, gross (NIS million)

3,797 3,810

3,297

3,571 3,192

2,850

3,198 3,103

2,906

215 177

172

4,874 4,121 3,234

1,754 1,593

1,438

13,897 15,996 17,409

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Harel Insurance Investments & Financial Services Ltd

Assets under management (AUM) and nostro assets (NIS billion) *

34.8 39 41.3 47.1 54.9 61.0

8.9 11.7 13.8 19.4 25.4 31.4 21.5 23.4 22.2 24.2 27.2 29.0 15 20.8 17.0 19.5 32.9 33.7

1.2 3.1 3.6 6.0 12.1 15.3

1.8 2.3 3.6 2.9 8.5 8.9

20 40 60 80 100 120 140 160 180 200 2009 2010 2011 2012 2013 2014 83.2 100.3 101.5 119.1 161 179.3

Portfolio management ETNs Mutual funds Provident funds Pension funds Insurance

* Including the offsetting of inter-company balances

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Harel Insurance Investments & Financial Services Ltd 2014 2013 2012 164 432 357

Long-term savings

140 202 225

Health

287 219 317

Non-life insurance

5 (12) (20)

Finance

64 27 16

Insurance companies overseas

160 221 205

Other capital

819 1,089 1,099

Total

Comprehensive income before tax from operating segments (NIS million)

357 432 164 225 202 140 317 219 287

• 20
• 12

5 16 27 64 205 221 160

• 200

200 400 600 800 1,000 1,200 2012 2013 2014

1,099 1,089 819

* Including an increase in the insurance liabilities in respect of revised discounting interest rates and LAT, in the amount of NIS 283 million before tax.

*

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Harel Insurance Investments & Financial Services Ltd

2014 2013 2012 129 112 187

Compulsory motor

34 24 11

Motor property

47 25 42

Property and other branches

13 4 36

Liabilities and other branches

64 54 41

Mortgage insurance

287 219 317

Total

Non-life insurance segment – comprehensive income before tax (NIS million)

187 112 129 11 24 34 42 25 47

36 4 13

41 54 64

100 200 300 400 2012 2013 2014

317 219 287

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Harel Insurance Investments & Financial Services Ltd

250 346 40 51 57 69 56 29 55 50 100 150 200 250 300 350 400 450 500 2012 2013 2014

357 432 164

2014 2013 2012 40 346 250

Life assurance

69 57 51

Pension

55 29 56

Provident

164 432 357

Total

*

* Including an increase in the insurance liabilities in respect of revised discounting interest rates and LAT, in the amount of NIS 241 million before tax.

Life assurance and long-term savings segment - comprehensive income before tax (NIS million)

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Harel Insurance Investments & Financial Services Ltd

Financial services segment (NIS million)

195 254 304 15 27 64 21 50 83 Revenues Comprehensive income before taxes EBIDTA

2014 2013 2012

304 254 195

Revenues

64 27 15

Comprehensive income before taxes

83 50 21

EBIDTA

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Harel Insurance Investments & Financial Services Ltd

Equity – Harel Investments (NIS million)

4,512 4,152 3,503 4,724

Dividend (NIS million) Dividend yield (%)

106 2.8% 64 2.3% 308 7.6% 320 7.5%

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Harel Insurance Investments & Financial Services Ltd

Capital surpluses – Harel Insurance (NIS million)

4,258 4,773 5,241 921 947 1,085 1,000 2,000 3,000 4,000 5,000 6,000 7,000 2012 2013 2014

Surplus capital Required capital

6,326 5,179 5,720