ThPA S.A. Reports 2019 Container Throughput Increase of 5.7%
On May 25th, 2020, the Board of Directors of ThPA S.A. approved the Annual Financial Report for the Fiscal Year 2019, presenting the following highlights:
In 2019, the overall activity level of the Port increased – for another year – leading to increased revenues and profits over 2018.
The Container Terminal throughput increased by 5,7% over the previous year, from 424.500 TEUs in 2018 to 448.765 TEUs in 2019, a result primarily driven by:
import/export volumes, from 363.138 TEUs in 2018 to 379.256 TEUs in 2019, representing an increase of 4,4%, transit volumes from 60.637 TEUs in 2018 to 69.113 TEUs in 2019, representing a notable increase of 14%. The Conventional Port volumes significantly increased by 19% over the previous year, with an improved cargo mix, lifting the Container Port revenues by 17,9%, from €18,9 million in 2018 to €22,3 million in 2019.
Revenues from rental of facilities posted a significant increase also by 26%, from €1,49 million in 2018 to €1,87 million in 2019, while passenger traffic remained largely at the same levels as in the previous year.
Gross Profit increased from €27,47 million in 2018 (€27,1 million prior the IFRS 16 restatement for 2018) to €32,2 million in 2019, representing a total increase of 17,8%. The increase, as in last year, is not only due to increased activity levels, but also due to an improvement of operational efficiencies in both the Container Terminal and the Conventional Port, keeping the Gross Profit Ratio at almost the same levels (46,9% in 2018 and 46,7% in 2019).
Finally, Net Profits after tax increased by 0,3%, from €16,4 million in 2018 to €16,45 million in 2019, forming the Net Profit Ratio from 28% in 2018 to 24% in 2019. Net profits were primarily influenced by two main factors: the gradual implementation of the new management structure that is expected to contribute to the further development of the Company in the following years, and the full year effect of IFRS 16.
Commenting on the financial results, the Chairman of the BoD and Managing Director of ThPA S.A., Sotirios Theofanis, stated: «The Company showed an upward trend in 2019, marking an increase at the throughput of containers and conventional cargo of 5,7% and 19% respectively, compared to 2018 and continues fully dedicated and committed to its planning and strategy, with the primary objective of establishing its position both in the domestic market and in the markets of neighboring countries, despite the difficulties caused by the spread of COVID-19 pandemic at international and domestic level. Source: ThPA S.A.
Swiss Re reports 23% increase in net income for the first nine months of 2019, supported by growth in Reinsurance
– Group net income of USD 1.3 billion, up from USD 1.1 billion
– Property & Casualty Reinsurance (P&C Re) net income up 39% to USD 880 million; combined ratio of 101.4%; return on equity (ROE) of 11.8%
– Life & Health Reinsurance (L&H Re) delivered strong result with net income of USD 651 million and ROE of 11.8%
– Corporate Solutions net loss of USD 441 million reflects decisive management actions and medium-sized and large man-made and natural catastrophe claims
– Life Capital net income of USD 40 million; gross cash generation of USD 831 million bolstered by exceptional items
– Excellent return on investments (ROI) of 4.3%; stable running yield at 2.9%
– Group Swiss Solvency Test (SST) ratio remains very strong at 241% (1 July 2019 estimate)
Swiss Re reported a Group net income of USD 1.3 billion in the first nine months of 2019, an increase of 23% from USD 1.1 billion for the same period a year earlier, supported by growth in Reinsurance and an excellent investment result. While the Group’s property and casualty businesses were impacted by USD 1.7 billion in large claims from natural catastrophes and man-made events, the life and health businesses continued to deliver a strong performance. Net premiums earned and fee income rose by 10% year-on-year to USD 28.4 billion, driven in particular by growth in P&C Re premiums. The Group’s ROE was 6.0%, and its capital position remained very strong.
Swiss Re’s Group Chief Executive Officer Christian Mumenthaler said: “The strength of our business with its global reach, diversification and very strong capitalisation enabled us to react fast and support our clients and their customers affected by the large natural catastrophes and man-made events in the first nine months. Our Reinsurance Business Unit achieved profitable growth in a challenging market environment. The transformation of Corporate Solutions is underway, and we continue to benefit from robust gross cash generation in Life Capital. Our leading market position and positive rate dynamics year to date give us confidence for the upcoming renewal season.“
Swiss Re reported an ROI of 4.3% in the first nine months of 2019, up from 2.8% in the same period a year earlier. The increase reflects a strong equity market performance, including a significant gain from the sale of the Group’s investment in the Brazilian insurance group SulAmérica S.A., as well as gains within the fixed income portfolio. The Group’s fixed income running yield for the nine-month period remained stable at 2.9%, despite headwinds from the declining yield environment.
Swiss Re maintains a very strong capital position, with a Group SST ratio of 241% (1 July 2019 estimate), exceeding its 220% target. The decline from 251% as of 1 January 2019 reflects capital deployment into profitable growth, expected capital repatriation to shareholders and lower interest rates, partly offset by positive earnings contributions.In light of the capital deployment, significant natural catastrophe losses in 2019, and the decision to suspend the initial public offering of ReAssure, the Board of Directors has decided that the second tranche of the public share buy-back programme will not be launched. The first tranche of the public share buy-back programme of up to CHF 1.0 billion purchase value, which started on 6 May 2019, is well on track, with more than 60% already completed as of 30 September 2019.
Swiss Re’s Group Chief Financial Officer John Dacey said: “The Group’s results in the first nine months underline the strength of our franchise. Despite multiple large natural catastrophe and man-made claims affecting the business, our capital position remains very strong, allowing us to take advantage of growth opportunities in an improving pricing environment.“
P&C Re supported by profitable growth and strong investment performance
P&C Re reported a 39% increase in net income for the first nine months to USD 880 million, supported by profitable business growth and a strong investment performance. Net premiums earned increased 17% to USD 14.2 billion, driven by large transactions and growth in the natural catastrophe business. The ROE improved to 11.8% from 8.3%. The combined ratio was 101.4%. P&C Re continues to be on track to achieve a normalised combined ratio of 98%1 in 2019.
The underwriting performance was impacted by USD 1.1 billion of large claims from natural catastrophes in the current year, including approximately USD 460 million from Typhoon Faxai in Japan and approximately USD 300 million from Hurricane Dorian in the Atlantic. Swiss Re estimates total insured market losses at approximately USD 7 billion for Typhoon Faxai and approximately USD 4.5 billion for Hurricane Dorian. Estimated claims from large man-made events amounted to approximately USD 310 million and included losses stemming from the Ethiopian Airlines crash and the subsequent grounding of the Boeing 737 MAX fleet and the compulsory liquidation of Thomas Cook. The underwriting performance was also impacted by late claims development from Typhoon Jebi in the first quarter, in line with a material increase in the total market loss.
L&H Re continues to deliver strong results
L&H Re delivered stable net income of USD 651 million for the nine months, driven by active portfolio management actions and improved mortality developments in the Americas. The result was also supported by a strong investment performance. ROE was 11.8%, in line with the business segment’s target range. Net premiums earned and fee income remained stable at USD 9.5 billion. This includes the impact of unfavourable foreign-exchange rate movements and the termination of an intragroup retrocession agreement with Life Capital. Adjusted for these two items, net premiums earned increased by 5.6%.
Corporate Solutions results reflect decisive management actions and medium-sized and large man-made and natural catastrophe claims
Corporate Solutions reported a net loss of USD 441 million and a combined ratio of 127.0%. The result was impacted by the decisive management actions to reposition the business as announced on 31 July 2019 as well as medium-sized and large claims. Large man-made and natural catastrophe losses of approximately USD 290 million for the nine-month period include significant claims from Hurricane Dorian and the compulsory liquidation of Thomas Cook in the third quarter.
Net premiums earned increased by 7.6% to USD 3.1 billion, as growth in property and credit lines and rate increases more than offset the impact from active pruning of several underwriting portfolios. Corporate Solutions is making progress in actively reducing risk exposure in specific lines of business to ensure a more focused and profitable portfolio going forward. Swiss Re expects the positive momentum in commercial insurance rates to continue after achieving a broad-based 10% price quality increase in the first nine months of 2019.
Life Capital reports strong closed book performance and dynamic growth in the open book businesses
Life Capital reported net income of USD 40 million in the first nine months of the year, benefitting from strong performance of the closed books, partly offset by expenses from investments in growth of the open book businesses. The exceptional gross cash generation of USD 831 million was bolstered by the sale of subordinated bonds issued by ReAssure and proceeds from the sale of a 10% stake in ReAssure to MS&AD Insurance Group Holding Inc., partially offset by significant unfavourable impacts from market movements and the ReAssure recapitalisation.
Net premiums earned and fee income rose to USD 1.6 billion, driven by growth in the open book businesses and changes to intragroup retrocessions. Gross premiums written of the open books increased 21% year-on-year when measured at constant exchange rates.
Full Report
Groupama 2018 results – Very sharp increase in net income
Board of Directors of Groupama Assurances Mutuelles met on 14 March 2019, under the chairmanship of Jean-Yves Dagès, and approved the Group’s combined financial statements and the consolidated accounts of Groupama Assurances Mutuelles for fiscal year 2018.
The Group’s combined financial statements include all business of the Group as a whole (i.e. the activity of the regional mutuals and of the subsidiaries consolidated within Groupama Assurances Mutuelles). The consolidated accounts of Groupama Assurances Mutuelles include the business activity of all subsidiaries as well as internal reinsurance (around 35% of the premium income of the regional mutuals ceded to Groupama Assurances Mutuelles). The analysis below focuses on the combined scope. The key figures of the consolidated scope are presented in the notes.
Increased activity in all business lines
At 31 December 2018, Groupama’s combined premium income stood at €14.3 billion, a +4.0% increase from 31 December 2017.
Business activity was up for property and casualty insurance (+2.7%), where the Group generated €7.4 billion in premium income at 31 December 2018, and for life and health insurance (+5.3%), for which premium income reached €6.7 billion. Groupama’s combined premium income at 31 December 2018 in millions of euros 31/12/2018
Like-for-like change (%)
Property and casualty insurance 7,389 +2.7%
Life and health insurance 6,706 +5.3%
Financial businesses 169 +15.1%
GROUP TOTAL 14,263 +4.0%
In France
Insurance premium income in France at 31 December 2018 amounted to €11.6 billion, up +4.4% compared with 31 December 2017. In property and casualty insurance, premium income totalled €5,621 million at 31 December 2018, up +2.0%. Insurance for individuals and professionals increased +2.2% over the period to €3,357 million, driven by the growth of the home insurance (+3.2% to €1,082 million), motor insurance (+2.0% to €1,567 million), and professional risks (+1.7% to €455 million) segments. The Group is pursuing its commercial growth in its main markets and posted growth in its home portfolio (+26,000 policies). The growth in agricultural business (+0.8%) and the assistance activity (+19.1%) also contributed to the increase in property and casualty insurance premium income.
In life and health insurance, premium income amounted to €5,936 million, up +6.8% compared with 31 December 2017. Group premium income for life and capitalisation in France rose +7.9% in a market up +4% at the end of December 2018 (source: FFA). This change was mainly driven by the growth in individual unit-linked savings/pensions (+11.3%), the growth in contracts in euros being lower (+1.0%), and by the exceptional growth of the group retirement branch (+64.3%). In health insurance, premium income grew +5.9% compared with the previous period, supported by strong development in group health (+13.5%) and the consolidation of individual health (+1.3%).
International
The Group is present in 9 countries around the world, mainly in Europe. It has growth opportunities in China, a country in which it ranks second among foreign non-life insurers with €300 million in premium income1. In 2018, international activity rose +1.6% to €2.5 billion at 31 December 2018.
In property and casualty insurance, premium income was up +4.9% from the previous period at €1,768 million at 31 December 2018. This growth is mainly linked to the good performance of motor insurance in all the subsidiaries (+6.3%) and of home insurance (+4.5%) mainly in Hungary and Italy.
In life and health insurance, the €770 million in premium income was down -5.3% from 2017, with contrasting changes between the segments. The individual retirement savings activity was down -12.6%, particularly in Italy, as a result of the end of an agreement with a major partner and the subsidiary’s strategy to limit inflows in euros in accordance with the Group’s guidelines. Meanwhile, group insurance surged +12.2%, following on the strong growth in the group retirement (+30.7%) and the group health (+24.6%) segments, mainly in Greece and Italy.
Financial businesses
The Group’s premium income was €169 million, including €164 million from Groupama Asset Management and €5 million from Groupama Epargne Salariale. Groupama Asset Management’s outstanding assets amounted to €99.4 billion at 31 December 2018, taking into account the development of third-party asset management, particularly in Italy and Spain.
1 On a basis of 100% of the premium income of Groupama Avic China, an equity-method entity in Groupama’s combined financial statements
Strong increase in net income
The group’s net income was up significantly by 54% to €450 million at 31 December 2018 versus €292 million at 31 December 2017.
It included total economic operating income of €298 million at 31 December 2018 compared with €349 million at 31 December 2017.
Economic operating income from insurance was €354 million in 2018. In life and health insurance, economic operating income reached €282 million in 2018, up €20 million from 2017. This increase was mainly due to the improvement of the technical margin in France in health insurance. Economic operating income in property and casualty insurance totalled €72 million in 2018 compared with €102 million in 2017. The non-life net combined ratio was 99.3% at 31 December 2018, up +0.4 points from 2017, masking an improvement in the ratio in France of -0.2 points to 98.6%. 2018 was marked by an increase in the cost of severe claims and a decrease in climate claims after a 2017 affected by Hurricanes Irma and Maria in the West Indies. The operating expense ratio improved by -0.3 points to 27.7%.
The economic operating profit from banking and financial activities amounted to +€34 million at 31 December 2018, and the Group’s holding activity posted an economic operating loss of -€89 million, including less tax consolidation income in 2018 compared with 2017.
Net income also includes non-recurring realised capital gains for a total of €351 million as of 31 December 2018, notably as a result of the sale of the Window building in La Défense.
A solid balance sheet
The group’s equity totalled €8.9 billion at 31 December 2018. In particular, it includes the mutual insurance certificates issued by Groupama since the end of 2015 for €540 million, including €104 million collected in 2018.
Following the successful €500 million issue of subordinated instruments in September 2018, subordinated debt recognised as equity and subordinated debt not recognised as equity totalled €2.7 billion at 31 December 2018 compared with €2.2 billion at 31 December 2017.
At 31 December 2018, insurance investments stood at €85.2 billion versus €87.2 billion at 31 December 2017. The Group’s unrealised capital gains reached €8.0 billion at 31 December 2018, including €5.2 billion from the bond portfolio, €0.6 billion from the equity portfolio, and €2.2 billion from property.
On 29 October 2018, Fitch Ratings confirmed the ‘A-’ Insurer Financial Strength (IFS) ratings of Groupama Assurances Mutuelles and its subsidiaries and raised the outlook associated with these ratings to ‘Positive’.
At 31 December 2018, the Solvency 2 ratio was 297%. Groupama calculates its Group Solvency 2 ratio including the transitional measure on technical reserves authorised by the ACPR. Without the transitional measure on technical reserves, the solvency ratio is 167%.