Bologna, 6 November 2015 UNIPOLSAI: RESULTS FOR THE FIRST NINE
MONTHS OF 2015 APPROVED Consolidated net profit of 602m (+1.6%
compared to the first nine months of 2014) Direct insurance income
of 10,163m (-10.9%1 compared to 30 September 2014, net of the sale
of the business unit to Allianz): Non-Life business: premium income
of 5,252m (-5.8% net of the sale of the business unit to Allianz)
Life business: income of 4,911m (-15.7%) Combined ratio at 95.7%2
Solvency margin equal to 181%3
The Board of Directors of UnipolSai Assicurazioni S.p.A., which met
yesterday under the chairmanship of Fabio Cerchiai, approved the
consolidated accounts as at 30 September 2015. UnipolSai closed the
first nine months of 2015 with a consolidated net profit of 602m,
an increase compared to 593m in the same period of 2014 (+1.6%),
which benefitted from capital gains resulting from the completion
of the first phase of the partial sale of the Milano Assicurazioni
portfolio to Allianz. Direct insurance income gross of outwards
reinsurance amounted to 10,163m in the first nine months of the
year (-14.4% compared to the same period of 2014) and was impacted
by the effects of the sale of the business unit to Allianz: net of
the effects of such transaction, the decrease in income 1 would
have been equal to 10.9% . The pre-tax result of the insurance
business amounted to 954m (963m in the first nine months of 2014).
Non-Life business contributed to this result with 653m (773m in the
first nine months of 2014), while Life business contributed with
301m (190m in the first nine months of 2014). Non-Life Business
Premium income in the first nine months of 2015 was impacted by the
effects of the sale of the business unit comprising the former
Milano Assicurazioni agencies to Allianz with the relative transfer
of the related portfolio. This effect will be prolonged throughout
the year. Moreover, premium income continued to be influenced by
strong competition, particularly in vehicle liability
insurance.
1 2 3
Estimated management figure Combined ratio of direct business The
values considered include the effect of the convertible loan issued
in April 2014, of which the mandatory conversion into ordinary
shares of UnipolSai shall take place by 31/12/2015
1
In this context, Non-Life direct premium income stood at 5,252m
(-13.2% compared to the first 1 nine months of 2014, or -5.8% on a
comparable basis net of the sale of the business unit to Allianz ),
1 of which 3,169m (-16.4%, -7.7% on a comparable basis ) from MV
business and 2,083m (-7.9%, 1 2.6% on a comparable basis ) from
Non-MV business. In vehicle liability insurance, premium income
improved compared to the first half of 2015 thanks to the
initiatives launched in the second half of the year aimed at making
the offer more competitive in terms of both new acquisitions and
renewals. With regard to the trend in claims, technical indicators
remain positive in vehicle liability insurance due to the constant
monitoring of average costs and the continuation of a decreasing
trend in frequency, which, although slowing down, is reflected in
the additional reduction of the number of claims. In Non-MV
business, the loss ratio improved after a first quarter impacted by
extensive material damage due to an adverse climatic event that
affected Tuscany in March. In this context, a combined ratio of
95.7% (95.7% net of reinsurance ) was recorded in the first nine
months of the year, compared to 94.4% in the same period of 2014.
The loss ratio (direct business) was particularly influenced by the
extraordinary climatic event that occurred in Tuscany, with an
impact of 1.2 percentage points, standing at 67.4% compared to
67.3% recorded in the first nine months of 2014. The expense ratio
(direct business) was equal to 28.3%, compared to 27.1% in the
first nine months of 2014 and was impacted by the effect of the
drop in premiums and the shift in the production mix. The pre-tax
result of the business was a profit of 653m compared to 773m in the
first nine months of 2014. Life Business In Life business, a market
environment characterised by low interest rates continued to favour
higher quality production and financial risk containment also in
terms of Solvency II. Direct income amounting to 4,911m was
recorded in the first nine months of the year, a decrease of 15.7%
due to comparison with the very strong performance recorded in the
same period of 2014, especially in the bancassurance channel.
UnipolSai S.p.A. recorded an income in direct business of 2,363m
(-8.5%). A more significant decline was recorded by the Popolare
Vita Group, which with 2,404m saw a decrease of 22.6% compared,
however, to a growth of 66.4% recorded in the first nine months of
2014. The pre-tax result of the business, which benefitted from
particularly high financial profitability, was a profit of 301m
compared to 190m recorded in the same period of 2014. Real Estate
Business In real estate business, which remains impacted by
difficult market conditions, operations were focused on the
restoration and development of properties in portfolio.
2 4
4
Indicator calculated on earned premiums after reinsurance
2
The pre-tax result of the business as at 30 September 2015 was a
loss of 90m (-34m as at 30 September 2014). This result was
influenced by gross write-downs amounting to 69m carried out in the
first half of 2015. Other Business The commercial development of
diversified companies continued during the period under
consideration. Such activities, together with the restructuring
initiatives implemented in previous years and still in progress,
led to results that show gradual improvement. In particular, it
should be noted that as at 30 September 2015, the hotel business of
Atahotels recorded a positive net income of 4m (-3m as at 30
September 2014), also due to the performance of facilities in the
Milan area involved in the Expo Milano 2015 event. With regard to
the proposed acquisition of the hotel management business "UNA" and
the relative real estate portfolio for hotel use, certain
operational processes necessary for the completion of the
acquisition are still pending. The pre-tax result of the business
was a loss of 6m (a profit of 20m as at 30 September 2014, which
referred to a different scope in relation to the companies of the
banking business today incorporated in Unipol Banca). Financial
Management The profitability of the Group's securities portfolio,
despite aiming to preserve the risk/return profile of the assets
and consistency between the assets and liabilities underwritten
with policyholders, achieved a significant yield in the period
under consideration, equal to approximately 5.2% of invested
assets. The substantial capital gains recorded during the first
half of 2015 due to the disposal of securities in the context of
portfolio restructuring also partially contributed to this result.
Balance Sheet Consolidated shareholders' equity as at 30 September
2015 amounted to 6,366m (compared to 6,635m as at 31 December 2014)
of which 6,034 attributable to the Group. The total AFS reserve
amounted to 815m (1,204m as at 31 December 2014), which decreased
mainly due to the increase of spreads on corporate/financial bonds.
The consolidated solvency margin as at 30 September 2015 amounted
to 181% of the required capital, an improvement compared to 166% as
at the end of 2014. Business Outlook The Company is currently
completing the integration activities defined in the 2013-2015
Business Plan and has begun defining strategic guidelines to
support the preparation of the new Business Plan for the years
2016-2018.
3
3
Corporate Governance Further to previous disclosure to the market
in this regard, it should be noted that in the aforementioned
meeting held yesterday, the Board of Directors of UnipolSai
definitively approved, to the extent of its competence, the plan
for the merger by incorporation of Liguria Società di
Assicurazioni S.p.A. ("Liguria") and Liguria Vita S.p.A. (the
"Merger Plan" and the "Merger") into the Company. The Extraordinary
Shareholders' Meeting of Liguria has been called to approve the
Merger Plan on 18 November; the Extraordinary Shareholders' Meeting
of Liguria Vita is scheduled for the same date. In particular, it
should be noted that pursuant to Article 2505-bis, Paragraph 1 of
the Italian Civil Code, shareholders of Liguria other than
UnipolSai are entitled to have their shares purchased by the
incorporating company UnipolSai, under the terms and conditions of
the Merger Plan, deposited at the relevant companies' registers of
the companies involved in the Merger and published on the website
of UnipolSai, together with all additional documentation regarding
such Merger. **** Results Conference Call At 12:00 pm today, a
conference call is scheduled during which financial analysts and
institutional investors may submit questions to the Chief Executive
Officer and top management with regard to the results as at 30
September 2015. The phone numbers to dial to attend the event are:
+39/02/8020911 (from Italy and other countries), +1/718/7058796
(from the U.S.), +44/121/2818004 (from the UK). **** The Interim
Financial Report as at 30 September 2015 will be made available, in
accordance with law, at the registered office, on the Company's
website at www.unipolsai.com and on the website of Borsa Italiana
www.borsaitaliana.it. **** Please find attached hereto the
Consolidated Balance Sheet, the Consolidated Income Statement, the
Condensed Consolidated Income Statement Broken Down by Business
Segment and the Balance Sheet Broken Down by Business Segment. ****
Maurizio Castellina, Manager in charge of financial reporting of
UnipolSai Assicurazioni S.p.A., declares, pursuant to Article
154-bis, paragraph 2, of the Consolidated Law on Finance, that the
accounting information contained in this press release corresponds
to the figures in corporate accounting records, ledgers and
documents. **** 4
Glossary COMBINED RATIO: sum of loss ratio and expense ratio
EXPENSE RATIO: ratio of Non-Life operating expenses and premiums
calculated on written premiums LOSS RATIO: ratio of Non-Life claims
and premiums calculated on earned premiums AFS RESERVE: reserve on
assets classified as "Available-for-sale"
Contacts Unipol Group Press Office Fernando Vacarini Tel.
+39/051/5077705 pressoffice@unipolsai.it Barabino & Partners
Massimiliano Parboni m.parboni@barabino.it Tel. +39/335/8304078
Giovanni Vantaggi g.vantaggi@barabino.it Tel. +39/328/8317379
Unipol Group Investor Relations Adriano Donati Tel. +39/051/5077933
investor.relations@unipolsai.it
UnipolSai Assicurazioni S.p.A. UnipolSai Assicurazioni S.p.A. is
the insurance company of the Unipol Group, Italian leader in
Non-Life business, in particular in vehicle liability insurance.
Also active in Life Business, UnipolSai has a portfolio of over 10
million customers and holds a leading position in the national
ranking of insurance groups with a direct income amounting to
approximately 16bn, of which 8.4bn in Non-Life Business and 7.6bn
in Life business (2014 figures). The company currently operates
through 5 divisions (Unipol, La Fondiaria, Sai, Nuova MAA and La
Previdente) and has the largest agency network in Italy, with over
3,800 insurance agencies and 7,300 sub-agencies spread across the
country. UnipolSai Assicurazioni is controlled by Unipol Gruppo
Finanziario S.p.A. and like the latter, it is listed on the Italian
Stock Exchange, being one of the most highly capitalized
securities.
5
Consolidated Balance Sheet Assets
Amounts in m
1 1.1 1.2 2 2.1 2.2 3 4 4.1 4.2 4.3 4.4 4.5 4.6 5 5.1 5.2 5.3 6 6.1
6.2 6.3 6.4 6.5 7
INT ANGIBLE ASSETS Goodw ill Other intangible assets P ROP ERT Y ,
PLANT AND EQUIPMENT P roperty Other items of property, plant and
equipment T ECHNICAL PROVISIONS - REINSURERS' SHARE INV ES T MENT S
Inv estment property Inv estments in subsidiaries and associates
and interests in joint ventures H eld-to-maturity investments Loans
and receivables A v ailable-for-sale financial assets Financial
assets at fair value through profit or loss S UNDRY RECEIVABLES
Receiv ables relating to direct insurance business Receiv ables
relating to reinsurance business Other receivables OT HER ASSETS N
on-current assets held for sale or disposal groups Deferred
acquisition costs Deferred tax assets C urrent tax assets Other
assets CAS H AND CASH EQUIVALENTS T OT AL ASSETS
30/9/2015 752 307 446 1,171 1,067 105 908 60,850 2,711 527 1,161
5,300 42,241 8,911 2,523 1,066 67 1,390 783 55 82 185 48 413 997
67,986
31/12/2014 805 307 498 1,196 1,072 124 960 61,122 2,824 608 1,420
5,169 42,114 8,986 3,395 1,631 90 1,675 814 24 76 222 98 396 684
68,976
Consolidated Balance Sheet Equity and Liabilities
Amounts in m
30/9/2015 1 1.1 1.1.1 1.1.2 1.1.3 1.1.4 1.1.5 1.1.6 1.1.7 1.1.8
1.1.9 1.2 1.2.1 1.2.2 1.2.3 2 3 4 4.1 4.2 5 5.1 5.2 5.3 6 6.1 6.2
6.3 6.4 EQUIT Y attributable to the owners of the Parent S hare
capital Other equity instruments E quity -related reserves
Income-related and other reserves (Treasury shares) Translation
reserve Gains or losses on available-for-sale financial assets
Other gains or losses recognised directly in equity P rofit (loss)
for the year attributable to the owners of the Parent attributable
to non-controlling interests S hare capital and reserves
attributable to non-controlling interests Gains or losses
recognised directly in equity P rofit (loss) for the year
attributable to non-controlling interests P ROV IS IONS T ECHNICAL
PROVISIONS FINANCIAL LIABILITIES Financial liabilities at fair
value through profit or loss Other financial liabilities P AY ABLES
P ay ables arising from direct insurance business P ay ables
arising from reinsurance business Other payables OT HER LIABILITIES
Liabilities associated with disposal groups held for sale Deferred
tax liabilities C urrent tax liabilities Other liabilities T OT AL
EQUITY AND LIABILITIES 6,366 6,034 1,996 101 248 2,336 -50 4 784 36
579 332 277 31 24 547 55,734 3,582 1,263 2,319 938 187 138 613 818
47 58 30 683 67,986
31/12/2014 6,635 6,295 1,996 110 248 2,063 -50 4 1,169 15 740 340
261 34 44 620 56,228 3,813 1,365 2,447 819 144 41 634 862 3 86 16
757 68,976
Consolidated Income Statement
Amounts in m
30/9/2015 9,818 10,162 -344 7 223 17 1,864 1,108 145 579 32 343
12,271 -8,714 -8,862 148 -7 -7 -430 -68 -36 -167 -159 -1,770 -1,298
-82 -390 -484 -11,413 858 -256 602 0 602 579 24 30/9/2014 12,129
12,440 -311 12 152 2 2,157 1,186 153 661 157 474 14,927 -10,974
-11,113 139 -10 -9 -492 -75 -77 -228 -112 -1,910 -1,426 -66 -418
-582 -13,978 949 -355 594 -1 593 559 34
1.1 N et premiums 1.1.1 Gross premiums 1.1.2 Ceded premiums 1.2 Fee
and commission income 1.3 Gains and losses on financial instruments
at fair value through profit or loss
1.4 Gains on investments in subsidiaries and associates and
interests in joint 1.5 Gains on other financial instruments and
investment property 1.5.1 Interest income 1.5.2 Other gains 1.5.3
Realised gains 1.5.4 Unrealised gains 1.6 Other revenue 1 T OT AL
REVENUE AND INCOME 2.1 N et charges relating to claims 2.1.1 A
mounts paid and changes in technical provisions 2.1.2 Reinsurers'
share 2.2 Fee and commission expense 2.3 Losses on investments in
subsidiaries and associates and interests in joint 2.4 Losses on
other financial instruments and investment property 2.4.1 Interest
expense 2.4.2 Other charges 2.4.3 Realised losses 2.4.4 Unrealised
losses 2.5 Operating expenses 2.5.1 Commissions and other
acquisition costs 2.5.2 Investment management expenses 2.5.3 Other
administrative expenses 2.6 Other costs 2 T OT AL COSTS AND
EXPENSES P RE-T AX PROFIT (LOSS) FOR THE YEAR 3 Income tax P OS T
-T AX PROFIT (LOSS) FOR THE YEAR 4 P ROFIT (LOSS) FROM DISCONTINUED
OPERATIONS CONS OLIDAT ED PROFIT (LOSS) FOR THE YEAR attributable
to the owners of the Parent attributable to non-controlling
interests
Condensed Consolidated Income Statement by Business Segment
Amounts in m
N o n -L i fe Business L i fe Business I n su r an ce Business Oth
er Businesses R eal Estate Business (*) I n ter seg m en t
Elimination C o n so l i d ated Total
Sep-15 Sep -14 v ar. % Sep -15 Sep -14 v ar. % Sep -15 Sep -14
v ar. % Sep -15 Sep -14 v ar. % Sep -15 Sep -14 v ar. % Sep -15 Sep
-14 var . % Sep -15 Sep -14 var . %
N et premiums N et fees and commissions Financial income/expense
(excl. assets/ liabilities at fair value) Net interest Other income
and expenses Realised gains and losses Unrealised gains and losses
N et charges relating to claims Operating expenses Commissions and
other acquisition costs Other expenses Other income / expense P
re-tax profit (loss) Income tax P rofit (loss) on discontinued
operations Consolidated profit (loss) for the period
5,252 0 552 254 61
6,344 -17.2 0 -130.9 442 291 47 24.9 -12.5 29.8 56.9 -69.2 -18.0
-9.8 -9.5 -11.3 -79.7 -15.6 -29.4 0.0 -7.8
4,565 0 1,163 792 61
5,785 -21.1 0 -154.1 1,018 14.2 810 -2.2 -10 -724.0 51.4 -9.2 -18.2
-10.5
9,818 12,129 -19.1 0 0 -169.0 1,715 1,460 17.5 1,046 1,100 -4.9 123
37 228.6 534 347 54.0 13 -24 -152.5 -8,693 -10,611 -18.1 -1,693
-1,879 -9.9 -10.5 -8.1 -42.8 -1.1 -18.9 0.0 9.0
0 0 1 1 0 0 0 0 -70 0 -70 64 -6 1 0 -4 -4 0
0 0.0 10 -100.2 44 -98.3 44 -98.4 0 124.5 8 -100.0 -8 -98.1 0 0.0
-58 20.9 0 0.0 -58 20.9 24 171.0 20 -127.8 -11 -110.9 -1 n.s. 8
-155.3 8 0
0 0 -47 -1 30 -1 -74 0 -23 0 -23 -19 -90 24 0 -66 -65 -1
0 0 -11 -1 31
0.0 0.0 n.s. 26.4 -3.4
0 0 -24 0 -24 0 0 0 17 0 17 7 0 0 0 0 0 0
0 0.0 -9 -100.0 -45 47.8 -26 -100.0 -19 24.2 0 0.0 0 0.0 0 -100.0
39 -56.5
9,818 12,129 -19.1 0 2 -114.6 1,645 1,448 13.6 1,045 1,117 -6.4 129
49 162.8 533 354 -62 -72 -8,693 -10,611 -1,770 -1,910 50.4 -14.5
-18.1 -7.3 -9.0 -2.5 -31.2 -9.6 -28.1 n.s. 1.6 3.5 -29.7
255 162 -18 -58 -3,543 -4,319 -1,446 -1,603 -1,161 -1,283 -284 -320
-163 -91 653 -197 0 455 773 -280 0 494
279 185 31 34 -5,150 -6,293 -247 -276 -136 -111 -30 301 -83 0 218
194 23 -167 -109 -44 190 -66 0 124 90 34
-1 118.5 -40 85.2 0 0.0 -11 105.2 0 0.0 -11 105.2 -12 -62.0 -34
-161.5 2 n.s. 0 0.0 -33 -101.8 -32 -1
-18.3 -1,298 -1,450 1.3 -395 -430 32.7 -193 -135 58.1 25.4 0.0 75.6
954 -281 0 673 649 24 964 -346 0 618 583 34
24 -100.0 -1,298 -1,426 15 10.4 -472 -484 16 -56.5 -142 -108 0 0 0
0 0 0 n.s. 0.0 0.0 n.s. 858 -256 0 602 579 24 949 -355 -1 593 559
34
P rofit (loss) attributable to the owners of the Parent 454 493 P
rofit (loss) attributable to non-controlling interests 1 1 (*) the
Real Estate Business only includes real estate companies controlled
by UnipolSai
Balance Sheet by Business Segment
Amounts in m
Non-Life Business 30/9/15 1 2 3 4 4.1 4.2 4.3 4.4 4.5 4.6 5 6 6.1
6.2 7 1 2 3 4 4.1 4.2 5 6 INT ANGIBLE ASSETS T ANGIBLE ASSETS T
ECHNICAL PROVISIONS - REINSURERS' SHARE INV ES T MENT S Inv estment
property Inv estments in subsidiaries, associates and joint
ventures H eld-to-maturity investments Loans and receivables A v
ailable-for-sale financial assets Financial assets at fair value
through profit or loss S UNDRY RECEIVABLES OT HER ASSETS Deferred
acquisition costs Other assets CAS H AND CASH EQUIVALENTS T OT AL
ASSETS EQUIT Y P ROV IS IONS T ECHNICAL PROVISIONS FINANCIAL
LIABILITIES Financial liabilities at fair value through profit or
loss Other financial liabilities P AY ABLES OT HER LIABILITIES T OT
AL EQUITY AND LIABILITIES 457 612 824 16,326 1,496 362 399 2,092
11,761 216 2,065 730 34 696 446 21,459 1,859 479 16,098 1,517 47
1,471 825 681 21,459 31/12/14 479 649 856 17,100 1,493 354 639
2,073 12,409 131 2,744 699 27 671 181 22,708 1,992 556 16,866 1,819
184 1,635 753 722 22,708 Life Business 30/9/15 288 6 84 43,259 10
157 762 3,190 30,444 8,695 443 118 48 70 332 44,529 2,493 28 39,637
1,965 1,213 751 170 237 44,529 31/12/14 315 6 104 42,662 10 241 781
3,128 29,646 8,856 682 190 48 142 319 44,277 2,524 24 39,362 1,956
1,178 778 154 257 44,277 Other Businesses 30/9/15 7 146 0 213 45 0
0 167 1 0 88 30 0 30 93 576 392 22 0 43 0 43 101 19 576 31/12/14 11
163 0 282 45 0 0 236 1 0 75 37 0 37 73 641 429 17 0 94 0 94 79 22
641 Real Estate Business 30/9/15 0 408 0 1,241 1,160 8 0 39 34 0 59
41 0 41 128 1,876 1,622 18 0 163 3 160 56 17 1,876 31/12/14 1 378 0
1,383 1,276 13 0 36 57 0 37 25 0 25 111 1,934 1,690 22 0 164 3 161
55 2 1,934 Intersegment Elimination 30/9/15 0 0 0 -188 0 0 0 -188 0
0 -132 -135 0 -135 0 -455 0 0 0 -106 0 -106 -213 -135 -455 31/12/14
0 0 0 -304 0 0 0 -304 0 0 -142 -137 0 -137 0 -583 0 0 0 -220 0 -220
-222 -140 -583 30/9/15 752 1,171 908 60,850 2,711 527 1,161 5,300
42,241 8,911 2,523 783 82 701 997 67,986 6,366 547 55,734 3,582
1,263 2,319 938 818 67,986 Total 31/12/14 805 1,196 960 61,122
2,824 608 1,420 5,169 42,114 8,986 3,395 814 76 738 684 68,976
6,635 620 56,228 3,813 1,365 2,447 819 862 68,976