With Great Eastern, youre always covered F INANCIAL R ESULTS FOR T - - PowerPoint PPT Presentation

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With Great Eastern, youre always covered F INANCIAL R ESULTS FOR T - - PowerPoint PPT Presentation

With Great Eastern, youre always covered F INANCIAL R ESULTS FOR T HIRD Q UARTER 2011 31 OCTOBER 2011 Disclaimer This presentation may contain forward looking statements by Great Eastern Holdings Limited (the Company) relating to the


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With Great Eastern, you’re always covered

31 OCTOBER 2011

FINANCIAL RESULTS FOR THIRD QUARTER 2011

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Disclaimer

This presentation may contain forward looking statements by Great Eastern Holdings Limited (“the Company”) relating to the Company’s (including its group of companies) outlook, business and strategy which involve assumptions, risks and uncertainties. Such forward looking statements are based on the Company’s current views about markets in which we operate and assumptions including, but not limited to, prevailing economic and market conditions and currently available information. These statements involve known and unknown risks as well as uncertainties that could cause actual results or performance to differ materially from those in the forward looking statements. Such statements are not, and should not be construed as a representation of the Company’s future performance or achievements. It should be noted that the Company’s actual performance or achievements may vary significantly from such statements. The Company does not undertake to update these forward looking statements to reflect circumstances which arise after publication.

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SLIDE 3

Review of Financial Results

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Highlights

Earnings Sales Long‐term Profitability

  • f New Sales

Net profit was S$40.4m in Q3‐11, compared with S$168.6m a year ago Total weighted new sales 17% to S$568.8m in 9M‐11 New business embedded value (NBEV) 20% to S$244.1m in 9M‐11

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SLIDE 5

Sales

260.4 334.7 81.3 73.4 105.7 123.4 108.1 106.5 120.1 194.7 204.7 45.0 79.7 70.0 95.3 54.6 72.8 77.4 31.1 29.4 14.1 19.2 11.5 10.3 7.1 9.9 6.9

204.6 486.2 568.8 189.6 174.2 237.9 189.8 163.0 133.2

9M‐10 9M‐11 Q1‐10 Q2‐10 Q3‐10 Q4‐10 Q1‐11 Q2‐11 Q3‐11 Singapore Malaysia Emerging Markets Weighted new business premiums (S$ m)

Total weighted new sales rose by 17% to S$568.8m in 9M‐11

+ 17%

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SLIDE 6

194.7 204.7 31.1 29.4

260.4 334.7 9M‐10 9M‐11

Sales

+ 17% 568.8 486.2

Singapore Malaysia Emerging Markets

Total Weighted New Sales (S$ m)

  • Strong growth momentum in

bancassurance sales

  • Higher agency sales of Accident &

Health plans and government insurance schemes

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9‐Month Comparison

Total weighted new sales rose by 17% to S$568.8m in 9M‐11

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SLIDE 7

Long Term Profitability of New Sales

105.3 131.0 33.6 31.4 40.3 58.2 39.5 43.1 48.4 89.2 106.7 34.0 39.4 31.3 38.3 37.1 8.1 6.4 4.7 1.2 22.3 32.9 1.7 2.8 3.6 2.5 2.6 202.6 244.1 57.6 68.2 76.8 102.3 73.3 84.0 86.7 9M‐10 9M‐11 Q1‐10 Q2‐10 Q3‐10 Q4‐10 Q1‐11 Q2‐11 Q3‐11

New Business Embedded Value (S$ m) Singapore Malaysia Emerging Markets

41.7% 42.9% 43.2% 41.8% 42.1% 42.4% 44.3% 43.0% 40.5%

New business embedded value/Total weighted new sales

9M‐11 NBEV grew strongly by 20% to S$244.1m

+ 20%

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SLIDE 8

89.2 106.7 8.1 6.4 131.0 105.3 9M‐10 9M‐11

+ 20%

244.1

NBEV (S$ m)

202.6 Singapore Malaysia Emerging Markets

  • Higher sales of regular premium

investment‐linked as well as protection‐ based products

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9‐Month Comparison

9M‐11 NBEV grew strongly by 20% to S$244.1m

Long Term Profitability of New Sales

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SLIDE 9

Earnings

386.1 350.6 151.9 75 159.2 73.9 155.7 113.5 81.4 101.8 26.9 49.3 16.3 36.3 38.1 23.6 26.7 ‐23.4

422.1 316.8 117.7 158.7 85.1 168.6 74.4 179.1 40.4

9M‐10 9M‐11 Q1‐10 Q2‐10 Q3‐10 Q4‐10 Q1‐11 Q2‐11 Q3‐11 Profit from non‐insurance operations Profit attributable to non‐controlling interests Profit from insurance operations Income Tax Net Profit (S$ m)

Net profit attributable to shareholders in Q3‐11 was S$40.4m

  • Q3‐11 net profit decreased on

weaker investment performance amidst adverse financial markets

  • Q3‐10 was an exceptional quarter of

high earnings

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Summing up ‐ Key Financials

S$ m 9M‐11 9M‐10 ∆ Q3‐11 Q3‐10 ∆ Net Profit 316.8 422.1

‐25%

40.4 168.6

‐76%

Total Weighted New Sales 568.8 486.2

17%

204.6 189.8

8%

NBEV 244.1 202.6

20%

86.7 76.8

13%

Return on Equity 8.1% 11.2%

‐3.1pp

1.1% 4.3%

‐3.2pp

Capital Adequacy Ratios* >200% >200%

n.m.

>200% >200%

n.m. *For Great Eastern’s insurance subsidiaries in Singapore and Malaysia n.m. – non meaningful

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Thank You

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