This release contains inside information related to Gjensidige Forsikring ASA
pursuant to the EU
Market Abuse Regulation and is subject to the disclosure requirements pursuant
to Section 5-12 the Norwegian Securities Trading Act.
Continued strong growth due to effective pricing measures, combined with good
risk selection and stringent cost control, resulted in a good insurance service
result for the quarter despite the difficult weather conditions in Norway. The
return on the investment portfolio reflects improved market conditions. The
outlook for Gjensidige's insurance service results remains good.
Gjensidige Forsikring Group recorded a profit before tax of NOK 1,491.5 million
(1,037.3) for the quarter. The profit after tax was NOK 1,147.0 million (954.6)
and the corresponding earnings per share were NOK 2.26 (1.89). The profit in the
first quarter 2022 included a gain of NOK 0.8 billion on the sale of Oslo Areal.
The profit from general insurance operations measured by the insurance service
result was NOK 1,114.8 million (903.7), corresponding to a combined ratio of
86.9 (88.3).
- We are very pleased with the solid results this quarter, despite the
challenges posed by the difficult weather conditions. The outlook for our
business is good and I am confident that we are on the best possible trajectory
to continue our strong performance and deliver strong insurance results, says
CEO Geir Holmgren.
- Today, we are also announcing that we are transforming our organisational
structure to further enhance operational excellence and strengthen our position
to become a leading general insurance company in the Nordics and Baltics,
Holmgren says.
Insurance revenue from general insurance increased by 10.3 per cent to NOK
8,531.7 million (7,733.1) in the quarter, or by 7.4 per cent measured in local
currency. This was due to solid renewals, effective and differentiated pricing
measures and volume growth. The insurance service result increased by 23.3 per
cent, due to higher insurance revenue, lower large losses, a positive
discounting effect and higher run-off gains. The underlying frequency loss ratio
increased by 3.1 percentage points, with the main driver being difficult weather
conditions in Norway which impacted motor claims. The cost ratio was unchanged.
The Pension segment generated a loss for the period, driven by both a negative
insurance service result and net financial income. The negative insurance
service result must be seen in relation to the increase in the Contractual
Service Margin which represents expected profit to be released in the future,
upon expiry of the insurance contracts.
The financial result for the quarter was NOK 794.1 million (minus 1,128.4),
which corresponds to a return on total assets of 1.3 per cent (minus 1.8). The
result for the quarter was positively impacted by the rise in global equity
markets, depreciation of the Norwegian krone and lower credit spreads and
interest rates, especially outside Norway. A high running yield contributed to
good returns.
Highlights first quarter 2023 (first quarter 2022)
· Profit or loss before tax: NOK 1,491.5 million (1,037.3)
· Earnings per share: NOK 2.26 (1.89)
· Insurance revenue: NOK 8,531.7 million (7,733.1)
· Insurance service result: NOK 1,114.8 million (903.7)
· Combined ratio: 86.9 % (88.3 %)
· Cost ratio: 13.4 % (13.4 %)
· Financial result: NOK 794.1 million (minus 1,128.4)
This release contains alternative performance measures (APMs). APMs are
described at
www.gjensidige.no/reporting (https://eur02.safelinks.protection.outlook.com/?url
=
http%3A%2F%2Fwww.gjensidige.no%2Freporting&data=04%7C01%7C%7C6f121ea6906e4de9c1a
2
08d9991da38d%7C80184e22072c440ea8a922f52b82646d%7C0%7C0%7C637709174886993144%7CU
n
known%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6
M
n0%3D%7C1000&sdata=olrVzdkz1RuEnDJKcnZetjS0SXMcHDTktI6Bqwqoahg%3D&reserved=0) in
a document named APMs Gjensidige Forsikring Group Q12023.
This release is issued by Jon Aniksdal, Communication Manager at Gjensidige
Forsikring ASA.
Date and time of publication: 07:00 CET 28.04.2023
Contact persons,Gjensidige Forsikring ASA:
Head ofCommunication, Øystein Thoresen. Tel: 47 952 33 382
Head of Investor Relations Mitra Hagen Negård.Tel: 47 957 93 631
Gjensidige is a leading Nordic insurance group listed on the Oslo Stock
Exchange. We have about 4,200 employees and offer insurance products in Norway,
Denmark, Sweden and the Baltic states. In Norway, we also offerpension and
savings. The Group's operating income was NOK 34 billion in 2022, while total
assets were NOK 135 billion.