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SCOR generates a robust net income for the first nine months of 2009, with both Life and P&C units providing solid contributions and strongly expanding their franchises. The asset management returns reflect the defensive character of the portfolio, which is increasingly profiting from its investment program, mainly oriented towards government bonds and investment grade corporate bonds.
Key items of the first nine months 2009:
- Total gross written premiums YTD reach EUR 4,883 million, up 12.9% against the same period in 2008 (+11.4% at constant exchange rates);
- Net income year-to-date stands at EUR 278 million, stable compared to the same period in 2008. Annualized return on equity (ROE) reaches 10.5%, exceeding SCOR’s target of 900 bps above risk-free rate. Nine months’ earnings per share (EPS) stand at EUR 1.55. In the third quarter of 2009 a net income of EUR 94 million is generated, an increase of 147.4% compared to the third quarter of 2008, driven by robust performances from all business units;
- SCOR Global P&C reports a combined ratio of 97.4%, with natural catastrophe claims accounting for 5.3 points, primarily driven by Q1’09 losses related to European climate events, notably storm Klaus in France and Spain;
- SCOR Global Life delivers an operating margin of 5.2% (or 5.7% excluding net investment losses);
- SCOR Global Investments continues its investment program by reducing the Group liquidity position to EUR 1.8 billion at 30 September 2009 (from EUR 3.8 billion at the end of the second quarter) and by investing in high-quality bonds, producing a Net Return on Investments of 3.5% in the third quarter 2009, compared to 3.0% in the second quarter 2009;
- Shareholders’ equity continues to grow by 9.8% (EUR 335 million) compared to year-end 2008. It has now reached EUR 3.8 billion; book value per share stands at EUR 20.84;
Denis Kessler, Chairman and Chief Executive Officer of SCOR, comments: “The first nine months of 2009 once again demonstrate the strength of the Group, which has recorded steady growth in its Life and Non-Life business as well as very positive operating cash flows, whilst maintaining a cautious asset management strategy. SCOR continues to reinforce its positions in the reinsurance industry, both in Life and Non-Life, maintaining an extremely rigorous risk management policy to secure its future profitability.”
