Gjensidige Forsikring ASA

Earnings Release • Apr 25, 2024

Results significantly impacted by weather

Results significantly impacted by weather

This release contains inside information related to Gjensidige Forsikring ASA

pursuant to the EU Market Abuse Regulation and is subject to the disclosure

requirements pursuant to Section 5-12 the Norwegian Securities Trading Act.

Gjensidige generated a profit after tax of NOK 821 million in the first quarter.

The insurance service result was negatively impacted by weather-related claims

and provisions. The result improved when adjusting for these items, due to

continued strong momentum in revenue growth and efficient operations.

Highlights first quarter 2024 (first quarter 2023)

· Profit or loss before tax: NOK 1,076.2 million (1,491.5)

· Earnings per share: NOK 1.59 (2.26)

· Insurance revenue: NOK 9,473.9 million (8,531.7)

· Insurance service result: NOK 704.1 million (1,114.8)

· Combined ratio: 92.6 % (86.9 %)

· Cost ratio: 13.4 % (13.4 %)

· Financial result: NOK 447.6 million (794.1)

· Solvency ratio, approved Partial Internal Model: 177 % (181 %)

- We continue to have a very strong growth momentum. We navigated very well

through a tough quarter which was heavily impacted by harsh weather conditions,

says CEO Geir Holmgren.

- I am very impressed by our organisation's ability to handle yet another

quarter with an extraordinary high number of enquiries and claims. We have taken

good care of our customers when it matters the most, and processed claims in an

efficient manner, Holmgren says.

General insurance

Insurance revenue increased by 11.0 per cent to NOK 9,473.9 million (8,531.7),

or by 9.7 per cent measured in local currency. This was due to solid renewals,

effective and differentiated pricing measures, and volume growth.

The insurance service result decreased by 36.8 per cent to NOK 704.1 million

(1,114.8), corresponding to a combined ratio of 92.6 (86.9). The decrease was

primarily driven by the harsh weather conditions in the Nordics. A higher

discounting effect contributed positively to the insurance service result.

Adjusted for NOK 577.1 million in weather-related claims and NOK 108.2 million

in provisions due to a recent court ruling in Denmark in favour of the Consumer

Ombudsman, the insurance service result was NOK 1,389.4 million. This

corresponds to a combined ratio of 85.5.

The loss ratio increased by 5.6 percentage points compared with the first

quarter last year, driven by the increase in weather-related claims. Adjusted

for the weather-related frequency claims and the provisions mentioned above, the

underlying frequency loss ratio improved by 0.2 percentage points.

The cost ratio was stable at 13.4 per cent.

Pension

The pension segment recorded a profit before tax expense of NOK 151.7 million

(minus 8.5), driven by a higher insurance service result and changes in

financial assumptions. The insurance service result was impacted by adjustments

to best estimate of future liabilities and year-end adjustments of profit

sharing, amounting to a positive impact of NOK 35.3 million in the first quarter

of 2024 (minus 15.1).

Financial result

The financial result for the quarter was NOK 447.6 million (794.1), which

corresponds to a return on total assets of 0.7 per cent (1.3). The result for

the quarter was positively impacted by high running yields, lower credit spreads

and positive equity markets.

Outlook remains good

-The outlook for Gjensidige's insurance service result for the rest of the year

remains good. We will continue to focus on profitable growth, and further

improve operational efficiency across the Group, which together with our strong

product offering and solid capital position bode well for continued solid

results and attractive returns to our shareholders, Holmgren says.

This release contains alternative performance measures (APMs). APMs are

described at www.gjensidige.com/reporting

This release is issued by Christian Haraldsen, media relations officer at

Gjensidige Forsikring ASA.

Date and time of publication: 07:00 CET, 25 April 2024

Contact persons

Head of Communication, Øystein Thoresen. Tel: 47 952 33 382

Head of Investor Relations Mitra Hagen Negård. Tel:  47 957 93 631

Gjensidige is a leading Nordic insurance group listed on the Oslo Stock

Exchange. We have about 4,500 employees and offer insurance products in Norway,

Denmark, Sweden and the Baltic states. In Norway, we also offer pension and

savings. The Group's operating income was NOK 36 billion in 2023, while total

assets were NOK 148 billion.