Tryg A/S – Q2 and H1 report 2024

Tryg’s Supervisory Board has today approved the Q2 and H1 2024 interim report.

Tryg reported an insurance service result of DKK 2,212m (DKK 1,759m) and a combined ratio of 76.8 (80.9) in Q2 2024, supported by a solid growth in the Private & Commercial segments and a positive underlying performance. The insurance service result was helped by a benign large claims experience against a highly unfavorable one in the corresponding period in 2023. The underlying claims ratio for the Group improved by 40 basis points, whilst the Private segment displayed a deterioration of 40 basis points driven by, as expected, a higher motor claims frequency and a higher average claims cost. Tryg reported a top-line growth of 3.9% mainly driven by price adjustments across all segments to offset inflationary pressure, whilst there was a continued and expected drop in the Corporate business following higher churn in the first part of the year. Synergies from the RSA Scandinavia acquisition were DKK 52m in the quarter reaching DKK 806m accumulated. The investment result was DKK 347m (DKK 53m) mainly driven by positive returns from equities and covered bonds. Pre-tax profit was DKK 2,129m (DKK 1,229m) and profit after tax was DKK 1,642m. Quarterly dividend of DKK 1.95 (DKK 1.85) per share increased by more than 5%, solvency ratio of 195 supportive of future shareholders' returns.

Financial highlights Q2 2024

• Insurance revenue growth of 3.9% in local currencies
• Insurance service result of DKK 2,212m (DKK 1,759m)
• Combined ratio of 76.8 (80.9)
• Expense ratio of 13.6 (13.3)
• Investment result of DKK 347m (DKK 53m)
• Profit before tax of DKK 2,129m (DKK 1,229m)
• Quarterly ordinary dividend of DKK 1.95 (DKK 1.85) per share and solvency ratio of 195

Financial highlights H1 2024

• Insurance revenue growth of 4.4% in local currencies
• Insurance service result of DKK 3,486m (DKK 3,233m)
• Combined ratio of 81.7 (82.4)
• Expense ratio of 13.6 (13.3)
• Investment result of DKK 464m (DKK 220m)
• Profit before tax of DKK 3,136m (DKK 2,416m)
• Dividend per share of DKK 3.90 (DKK 3.70) per share

Customer highlights Q2 2024

• Customer satisfaction score of 86 (85)

Statement by Group CEO Johan Kirstein Brammer:
The results we have announced today is a solid stepping stone for the Group to reach our financial targets for 2024. We have lifted our Insurance service result by 26% to DKK 2.212m in Q2 2024 compared to the same quarter last year. Our Combined ratio of 76.8 is an improvement by 4.1 percentage points in comparison to Q2 2023. We are embarking on a new era in our 300-year history, as our strong position in Scandinavia enables us to scale our business and reap new commercial opportunities. We are yet to see the full potential of these opportunities in the upcoming years, and this makes me optimistic about the future.

The acceptable top line growth of 3.9% is driven by our Private and Commercial lines where the combined growth was just below 6%. Here we experience a general high customer loyalty and demand for many of our newer products, including Cyber, Dental, Care and Pregnancy.

Conference call
Tryg hosts a conference call today at 10:00 CET. CEO Johan Kirstein Brammer, CFO Allan Kragh Thaysen, CTO Mikael Kärrsten and Head of IR, SVP Gianandrea Roberti will present the results in brief followed by Q&As.

The conference call will be held in English. An on-demand version will be available shortly after the conference call has ended.

Conference call details:
Danish participants:              +45 78 76 84 90
UK participants:                    +44 203 769 6819
US participants:                    +1 646 787 0157
PIN: 560768

The interim report material can be downloaded on www.tryg.com/downloads-2024 shortly after the time of release.

Attachment

• Q2 and H1 2024 - Interim Report