ZAVAROVALNICA TRIGLAV, d.d., Ljubljana
Record results and increased volume of business in 2021
In accordance with the Ljubljana Stock Exchange Rules and the applicable legislation, ZAVAROVALNICA TRIGLAV d.d., Ljubljana is hereby publishing the following notice:
At its session on 30 March 2022, the Supervisory Board of Zavarovalnica Triglav approved the Audited Annual Report of the Triglav Group and its parent company for 2021. In 2021, the Group achieved a 10% increase in total revenue compared to the previous year (EUR 1.46 billion) and a 46% increase in profit before tax (EUR 132.6 million). The Group maintained its financial strength, as confirmed by the capital adequacy, which at 219% was within the target range as at the 2021 year-end. In 2021 the Group was again assigned high, “A” ratings by renowned credit rating agencies. The Management Board and the Supervisory Board will propose to this year’s General Meeting of Shareholders to pay the dividend of EUR 3.70 gross per share or EUR 84.1 million in total, representing 74% of the Group’s net profit for 2021 and a 9% dividend yield.
GOOD BUSINESS RESULTS IN 2021. In 2021, the Triglav Group increased its total revenue by 10% compared to the previous year (EUR 1.46 billion), and the volume of gross written premium (EUR 1,353.0 million) increased at the same growth rate. The Group’s underwriting discipline and client focus resulted in premium growth in all three insurance segments and in all markets. The Group’s combined ratio in non-life and health insurance reached a very favourable 88.9%. Its profit before tax totalled EUR 132.6 million (46% growth) and its net return on equity was 12.5%. Such good results stem from underwriting activities and the management of clients’ assets in mutual funds and discretionary mandates. The Group holds a leading position in the Adria region and further strengthened its position in some insurance markets. In addition, the Group is one of the leading Slovenian asset managers in the mutual fund market.
FINANCIAL STABILITY. The Group was assigned high “A” credit ratings in 2021 by the credit rating agencies S&P Global Ratings and AM Best. Both ratings have a stable medium-term outlook. The risk profile of the Group did not change significantly; the Group’s capital adequacy ratio of 219% as at the 2021 year-end was within the target range in accordance with its capital management policy. Both reports, which provide more detailed information on the solvency and financial condition of the Triglav Group and the parent company, are available at the website www.triglav.eu.
IMPLEMENTATION OF THE DIVIDEND POLICY. The Management Board and the Supervisory Board will propose to this year’s General Meeting of Shareholders to pay the dividend of EUR 3.70 gross per share or EUR 84.1 million in total, representing 74% of the Group’s net profit for 2021 and a 9% dividend yield. The proposed amount exceeds 50% of the consolidated net profit of the previous year (EUR 56.8 million), which is set as a starting point in the Company’s dividend policy. Andrej Slapar, President of the Management Board of Zavarovalnica Triglav, said: “The Management Board and the Supervisory Board based this year’s dividend proposal on the dividend policy, also taking into account several aspects and circumstances of recent years. The proposed dividend arises mainly from the uniqueness or exceptionality of some segments of the Group's operations in the past two years, taking into account the fulfilment of target capital adequacy, assessment of current and expected business conditions and the ability to achieve strategic goals of the Triglav Group in the future. Our dividend policy is designed in a way that is attractive to shareholders and sustainable for the development and growth of the Triglav Group. Accordingly, the starting point for the dividend proposal of 50% of the consolidated net profit of the previous year is retained also for 2023.”
COMMITMENT TO SUSTAINABILITY (ESG). The Group aims to play a leading role in the region in integrating the best global ESG practices into its operations and, therefore, defined its strategic sustainable ambitions for the period to 2025 in detail. The Group showed its commitment to sustainability also by becoming a signatory to the United Nations Principles for Sustainable Insurance (UN PSI), thereby joining the United Nations Environment Programme Finance Initiative (UNEP FI), and a signatory to the Partnership for Carbon Accounting Financials (PCAF) initiative. To improve its ESG disclosures, the Group added disclosures according to the Sustainability Accounting Standards Board (SASB) to the long-term application of the Global Reporting Initiative (GRI) criteria and standard.
The enclosed PDF version of the Audited Annual Report of the Triglav Group and its parent company for 2021 is designed in accordance with the MAR Regulation and is unofficial. Pursuant to Commission Delegated Regulation (EU) 2019/815 and paragraph one of Article 134 of the Market in Financial Instruments Act (ZTFI-1), the official version of the report is designed in the ESEF format and published in a separate announcement.
This information will be published on the website of Zavarovalnica Triglav d.d. at www.triglav.eu as of 31 March 2022 and will remain available on the Company’s public website for a period of at least five years.