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SCOR records net income of EUR 418 million in 2012 and proposes1 a dividend of EUR 1.20 per share.
In 2012, SCOR records a solid performance that continues to combine growth, profitability and solvency:
- Gross written premiums reach EUR 9,514 million, up by 25.2% on a published basis and by 10.8% pro-forma2, bearing witness to the Group’s enhanced franchise.
- SCOR Global P&C gross written premiums increase by 16.8% to EUR 4,650 million, fuelled by very good July 2011 and January, April and July 2012 renewals;
- SCOR Global Life gross written premiums reach EUR 4,864 million, up by 34.4% on a published basis and by 5.6% pro-forma, supported by the successful integration of ex-Transamerica Re business.
- SCOR Global P&C’s net combined ratio stands at 94.1%.
- SCOR Global Life’s technical margin stands at 7.7%.
- Operating cash flow stands at EUR 761 million thanks to significant contributions from the Group’s two business engines and despite net payments in 2012 of around EUR 300 million for 2011 natural catastrophe losses.
- SCOR Global Investments records an on-going return on invested assets of 3.5% (before equity impairments), thanks to its active portfolio management, and continues to follow a prudent strategy in a historically low yield environment.
- With a 5.3% cost ratio in 2012, SCOR trends towards the rate set out in the Strong Momentum V1.1 plan, actively investing for the future with 24 on-going projects.
- SCOR delivers a net income of EUR 418 million, up by 26.7% on a published basis and by 13.6% pro-forma. ROE stands at 1,002 basis points above the risk-free rate excluding equity impairments (900 basis points including impairments), demonstrating the Group’s capacity to deliver good results in spite of the low-yield and challenging economic environment.
- SCOR’s debt leverage stands at 19.9% at 31 December 2012, at the low end of the Strong Momentum V1.1 plan assumptions. In 2012, the Group successfully placed on the Swiss franc market CHF 315 million of perpetual subordinated notes under best in class conditions and continued to actively manage its liabilities, buying back an existing debt for EUR 50 million at 80% of par value.
- Shareholders’ equity stands at EUR 4,810 million at 31 December 2012, compared to EUR 4,410 million at 31 December 2011, after the distribution of EUR 203 million in dividends for 2011. Book value per share stands at EUR 26.18 at 31 December 2012, compared to EUR 23.83 at 31 December 2011.
- Proposed dividend of EUR 1.20 per share for 20123, representing a payout ratio of 53%.
Denis Kessler, Chairman & CEO of SCOR, comments: “SCOR achieved solid performances in 2012, despite an economic and financial environment that remains challenging and natural catastrophe costs that are still elevated. The Group continues to grow, particularly with further very strong increases during the P&C renewals and the successful integration of the Transamerica Re business, and now conducts around 60% of its activities in Asia-Pacific and the Americas. The quality of SCOR’s results in terms of profitability, solvency and growth were further recognised in 2012 by the upgrade of the Group’s rating by the four rating agencies following SCOR. The Group’s three-year strategic plan, Strong Momentum V1.1, is due to be completed in the summer of 2013, and SCOR will present its new 3-year strategic plan in September. The whole Group is fully engaged in this project, with a renewed ambition to achieve the best performances for our shareholders and to anticipate and manage the risks of our clients”.
1 Proposal subject to approval by the Annual General Meeting of shareholders on 25 April 2013.
2 Pro-forma: as if the acquisition of the Transamerica Re mortality portfolio had taken place on 1 January 2011. For more information, please refer to the 2011 annual results presentation, available at www.scor.com and on pages 5 and 6 of this press release.
3 Proposal subject to approval by the Annual General Meeting of shareholders on 25 April 2013
