•
• The underwriting result grew by 1 per cent on a currency adjusted basis and the combined ratio increased to 84.2 per
• Underlying Nordic margin trends remained positive, with If achieving a 0.5 percentage points improvement in the adjusted risk ratio excluding discounting effects
• Profit before taxes increased to
• The solvency ratio stood at 195 per cent, pro forma of the Mandatum spin-off and including dividend accrual, and pro forma financial leverage amounted to 26.3 per cent
• The listing of Mandatum on Nasdaq Helsinki was successfully completed on
Key figures
EURm | 1–9/ 2023 | 1–9/ 2022 | Change, % | 7–9/ 2023 | 7–9/ 2022 | Change, % |
Profit before taxes (P&C Operations) | 1,113 | 1,857 | -40 | 391 | 342 | 14 |
If | 989 | 1,491 | -34 | 332 | 264 | 26 |
Topdanmark | 143 | 78 | 83 | 38 | 35 | 10 |
Hastings | 70 | 100 | -30 | 43 | 54 | -20 |
Holding | -81 | 194 | — | -21 | -10 | 115 |
Net profit for the equity holders | 941 | 2,046 | -54 | 366 | 387 | -6 |
Underwriting result | 882 | 923 | -4 | 284 | 312 | -9 |
Change | Change | |||||
Earnings per share (EUR) | 1.86 | 3.83 | -1.97 | 0.73 | 0.75 | -0.02 |
Operational result per share (EUR) | 1.65 | — | — | 0.58 | — | — |
Return on equity, % | 14.1 | 3.5 | 10.6 | — | — | — |
Profit before taxes (adjusted for IFRS 9), EURm* | 1,113 | 627 | 77% | 391 | 82 | 377% |
The comparison figures for 2022 have been restated for IFRS 17 but not for IFRS 9, meaning some figures, such as investment income, are not fully comparable between the reporting periods. Net profit for the equity holders, EPS and return on equity figures include results from life operations. Mandatum is classified as discontinued operations as of
*) To enhance comparability, a Group profit before taxes (P&C operations) figure adjusted for IFRS 9, reflecting market value movements, has been provided for the prior year.
The figures in this report have not been audited.
Target | 1-9/2023 | |
Group | Mid-single digit | -4% |
Group combined ratio: below 86% | 84.2% | |
Solvency ratio: 170-190% | 195% (pro forma, including dividend accrual) | |
Financial leverage: below 30% | 26.3% (pro forma) | |
If | Combined ratio: below 85% | 83.2% |
Hastings | Operating ratio: below 88% | 90.5% |
The pro forma figures reflect the partial demerger and related transactions.
GROUP CEO’S COMMENT
During the third quarter we saw a continuation of the trends observed earlier in 2023. We delivered excellent premium growth of 12 per cent on a currency adjusted basis, the pricing environment in the
Private lines is the part of our business, together with SME, where we see the greatest potential to create value for our customers and shareholders through investments in digital capabilities. Over 2023, the benefits have been visible; digital sales in Nordic Private are up 9 per cent year-on-year, retention remains excellent at 90 per cent and the share of online claims increased to 60 per cent. Being the leading digital P&C insurer in the Nordics also supports growth – Private premiums grew by 6.3 per cent in the third quarter, on a currency adjusted basis, or 7.8 per cent excluding the Swedish mobility business. Private personal insurance was particularly strong, with growth of 12 per cent. Profitability remains very robust in Private as it delivered a nine-month combined ratio of 82.7 per cent, despite elevated weather claims.
Turning to Hastings, another of our digitally focused operations, the
In the Nordics, the competitive environment continued to be broadly stable in Private and Commercial, while the Industrial market remained in the hard part of the underwriting cycle. Nordic claims inflation showed signs of moderation in the third quarter as it fell to the lower end of the 4-5 per cent range observed over 2023, while claims frequency developed in line with expectations. We continued to implement rate increases ahead of total claims cost development. The trend in underlying margins remained strong, as If P&C improved its nine-month undiscounted adjusted risk ratio by 0.5 percentage points year-on-year, and its cost ratio by 0.1 percentage points.
The third quarter saw elevated weather claims related to storm Hans, heavy rainfall in
Looking to the asset side of the balance sheet,
On
Torbjörn Magnusson
Group CEO
OUTLOOK
Outlook for 2023
The outlook for 2023 remains unchanged from that communicated with the
The combined and operating ratios of
The net financial result will be significantly influenced by capital markets’ developments. With regard to Topdanmark, reference is made to the profit forecast model that the company publishes on a quarterly basis.
Board of Directors
A conference call for investors and analysts will be arranged at
Conference passcode:
The conference call can also be followed live at www.sampo.com/result. A recorded version will later be available at the same address.
For more information, please contact
Distribution:
Nasdaq
Nasdaq
The principal media
FIN-FSA
www.sampo.com
Attachment
Sampo Interim Statement Q3/2023
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