Quarterly Report • Oct 25, 2022
Quarterly Report
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* Some performance measures stated in this section have not been prepared in accordance with IFRS or the Solvency II regulations, which means that they are "alternative performance measures". The calculations and reconciliation against information in the financial statements of these performance measures are presented on the website under "Financial statements". Definitions of performance measures are presented on the company's website. Changes and comparative figures on this page and elsewhere in this interim report refer to the same period last year. All amounts are presented in KSEK unless otherwise stated.
Solid Försäkring is a non-life insurance company focusing on niche insurance, with the Nordic region as its core market. The operations in Norway, Finland and Switzerland are conducted by branches, and operations in other countries are conducted as cross-border operations. The non-life insurance operations are divided into three segments: Product, Personal Safety and Assistance. The company partners with leading retail chains in various industries and the banking sector, has about 2.3 million customers across the Nordic region and has its head office in Helsingborg. Net premiums earned in 2021 amounted to SEK 981 million and the technical result to SEK 114 million.
During the quarter, sales and earnings improved in all segments. The performance of the Assistance segment remained particularly strong, which continued its substantial recovery after COVID-19. Our investment assets also performed positively during the period, despite continued turmoil and turbulence in the financial markets.
Premiums earned for the third quarter increased 14 per cent compared with the yearearlier period to SEK 280 million, which is at the same level as the first and second quarters of 2022. The Assistance segment continued to post strong sales growth and premiums earned grew 38 per cent year-on-year. Premiums earned in Personal Safety grew 4 per cent, driven by both the Norwegian and Swedish markets. Premiums earned in the Product segment grew 6 per cent, driven by the Danish market – a market where the company continued to capture market shares during the period.
The technical result also continued to perform very well during the period and increased 52 per cent* year-on-year to SEK 45.8 million (30.1*), which is the highest technical result in the company's history. For the first nine months of the year, the technical result increased 34 per cent to SEK 118.2 million (88.4*).
The combined ratio in the third quarter amounted to 85.4 percent, which was an improvement over the second quarter of 2022 (86.9 per cent) and the year-earlier quarter (88.4 per cent*). As of the last day of September, the combined ratio amounted to 86.9 per cent (88.4*). The stable combined ratio was driven by good cost control in the company as well as stable and profitable underlying transactions.
Earnings in the non-technical account amounted to SEK 0.6 million for the third quarter (3.0), which is a significant improvement over the previous quarter. However, turmoil in the capital market continued to affect performance. During the quarter, a portion of available cash and cash equivalents was capitalised and invested in interestbearing deposits on the bond market and a smaller portion in the stock market.
Overall, profit before tax for the quarter improved 31 per cent* year-on-year to SEK 43.6 million (33.2*).
*For the third quarter and YTD 2021, costs for the listing process amounted to SEK 1.9 million, which are adjusted in the comparative figures for the previous year.
During the period, the partner base was further strengthened through a new agreement signed with Bliq. Bliq is a credit market company that, under the brand Tryggkredit, will distribute Solid Försäkring's payment protection insurance to its customers. Launch of the partnership is planned for Q1 2023.
Solid Försäkring has a strong financial position, which is why the Extraordinary General Meeting on 29 September resolved to authorise the Board to acquire up to 5 per cent of the company's own shares on one more occasions up until the next Annual General Meeting. The intent behind acquiring own shares is to create further value for shareholders and for the shares to later be cancelled at future Annual General Meetings.
At the end of the third quarter, the SCR ratio amounted to 180 per cent, corresponding to an increase of 11 percentage points compared with the end of June 2022.
Marcus Tillberg, CEO Solid Försäkring
+12% Gross written premiums
+38% Growth in premiums earnings for Assistance segment
+52% Technical result excl. non-recurring costs, 2021
Gross written premiums increased KSEK 32,031 to KSEK 304,182 (272,151) for the period. The continued increase of travel insurance products in the Assistance segment drove performance, though the other two segments also posted sales growth in the quarter. In the Product segment, the increase was mainly attributable to the Danish market and the high sales in the Personal Safety segment were primarily due to payment protection insurance in Norway and Sweden.
Premiums earned, net of reinsurance, increased KSEK 33,928, corresponding to 14 per cent, to KSEK 279,993 (246,065). Growth was mainly driven by the continuing strong performance in the Assistance segment for which the increase was 38 per cent. Premiums earned in the Product segment increased 6 per cent, primarily driven by growth in the consumer electronics industry in Denmark. Premiums earned in the Personal Safety segment increased 4 per cent.
The technical result increased KSEK 17,568, corresponding to 62 per cent, to KSEK 45,780, which is higher than the second quarter and the highest technical result for a single quarter in the company's history. Adjusted for non-recurring costs of SEK 1.9 million for the listing process in 2021, the increase was 52 per cent. The share of investment return transferred to the insurance operations was adjusted for the previous financial year on an annual basis in December, but is now carried out quarterly, which had a positive effect of SEK 3.4 million during the quarter.
The claims ratio margin improved year-on-year in all segments for the quarter, amounting to 22.6 per cent (25.6)
Operating expenses increased 12 per cent to KSEK 175,978 (156,470). Adjusted for non-recurring costs, the increase was 14 per cent. The increase was mainly due to higher acquisition costs driven by higher sales, but also to a changed product and partner mix in the Assistance and Product segments and lower claim costs. Administrative expenses as a percentage of premiums earned amounted to 8.8 per cent for the quarter, which is lower than last year when the percentage was 9.7 per cent, adjusted for non-recurring costs.
The combined ratio improved to 85.4 per cent (88.4 adjusted for non-recurring costs) due to the positive trend in the claims ratio and good cost control.
The result of asset management for the third quarter amounted to KSEK 621 (2,965), corresponding to a portfolio return of 0.05 per cent. Interest income for the quarter increased KSEK 1,848. Continued volatility in the capital market led to unrealised changes of KSEK 6,802 (-1,362) in the value of the investment portfolio. Refer to Note 6 for more detailed information.
Profit after tax increased KSEK 9,128 to KSEK 34,177 (25,049).
+12% Gross written premiums
+14% Premiums earned, net of reinsurance
+62% Technical result
+52% Technical result excl. non-recurring costs, 2021
85.4% Combined ratio
Gross written premiums increased KSEK 133,709 to KSEK 866,118 (732,409) for the period. The increase was primarily driven by the positive performance in the Assistance segment due to the recovery after the COVID-19 pandemic, which positively impacted demand for travel insurance products. In the Product segment, the increase was mainly attributable to the consumer electronics industry in Denmark and the high sales in the Personal Safety segment were primarily due to payment protection insurance in the Norwegian and Swedish markets.
Premiums earned, net of reinsurance, increased KSEK 99,683, corresponding to 14 per cent, to KSEK 822,488 (722,805). Growth was mainly driven by the very strong performance in the Assistance segment for which the increase was 43 per cent. Premiums earned in the Product segment increased 7 per cent, primarily driven by growth in the consumer electronics industry in Denmark. Premiums earned in the Personal Safety segment were in line with last year.
The technical result increased KSEK 31,672, corresponding to 37 per cent, to KSEK 118,177 (86,505). Adjusted for non-recurring costs of SEK 1.9 million for the listing process in 2021, the increase was 34 per cent. The share of investment return transferred to the insurance operations was adjusted for the previous financial year on an annual basis in December, but is now carried out quarterly, which had a positive effect of SEK 5.9 million during the period.
The claims ratio margin in all segments improved year-on-year to 21.6 per cent (24.2). Operating expenses increased 15 per cent to KSEK 536,918 (465,544), which were mainly due to higher acquisition costs. Adjusted for non-recurring costs, the increase was 16 per cent. Administrative expenses as a percentage of premiums earned amounted to 9.5 per cent for the period, which is lower than last year when the percentage was 10.2 per cent, adjusted for non-recurring costs.
The combined ratio improved to 86.9 per cent (88.4, adjusted for non-recurring costs) due to the positive trend in claim costs and administrative expenses.
Continuing turbulence in the external environment affected the capital market during the year, which resulted in reduced market values of the company's investment assets. The result of asset management for the period amounted to KSEK -32,166 (35,166) and total return to -2.2 per cent (3.1). The negative result comprised unrealised changes in the value of investment assets, which amounted to KSEK - 50,118 (16,242), of which KSEK -25,143 was related to the equities portfolio and KSEK -24,975 was related to the bond portfolio. Refer to Note 6 for more detailed information. Interest income for the period increased KSEK 813. The total value of the investment portfolio on 30 September amounted to KSEK 1,394,326, of which 6 per cent, or KSEK 87,820, consisted of shares and KSEK 657,268 consisted of other interest-bearing assets, mainly bonds at floating interest rates. The company's strategy is to hold bonds until maturity. Cash and cash equivalents in the portfolio amounted to KSEK 649,238, of which in August a corresponding KSEK 203,440 was tied at a fixed interest rate with a 12-month term.
Profit after tax declined KSEK 33,455 to KSEK 61,196 (94,651).
+18% Gross written premiums
+14% Premiums earned, net of reinsurance
+37% Technical result
Technical result excl. non-recurring costs, 2021
Combined ratio
Equity (2) on 30 September amounted to KSEK 776,023 (688,069) and Net Asset Value (2) to KSEK 757,952 (663,492). For the nine-month period of 1 January–30 September 2022, annualised RoE (2)* amounted to 10.9 per cent (19.8) and annualised RoNAV (2)** to 11.9 per cent (21.8).
The SCR ratio improved to 180 per cent on 30 September (170), and increased 7 percentage points compared with the end of December 2021 (173). The company has a stable Solvency II position and company management and the Board do not believe that the ongoing war in Ukraine or the continuing effects of the previous pandemic will jeopardise stability or the capital situation in the future. However, the company is closely following external developments and any impact from rising inflation, higher interest rates and increased energy prices to identify any changes in consumer behaviour that could impact the company's insurance business and thus profitability and earnings.
Cash flow*** from operating activities amounted to KSEK 133,331 (163,056). Cash flow from investing activities amounted to KSEK -101,489 (173,275). During the quarter, investment assets were acquired for KSEK 259,041 and the value of divested and mature investment assets amounted to KSEK 157,338. The subordinated loan of KSEK 200,000 to Resurs Bank fell due for payment in April 2021. Cash flow from financing activities amounted to KSEK 0 (-59,000). Cash and cash equivalents increased to KSEK 649,238 (613,139).
* RoE (2) – annualised aggregated result of the period in relation to the average adjusted equity (2). The average of the balance sheet items is calculated based on opening and closing values. **RoNAV (2) – annualised aggregated result after tax for the period in relation to the average adjusted equity excluding intangible assets (2). The average of the balance sheet items is calculated based on opening and closing values.
***Comparative figures for cash flow refer to 31 December 2021.
11.9% RoNAV (2)
180% SCR ratio
| KSEK, unless otherwise stated | Jul– | Jul–Sep | Change | Jan–Sep | Jan–Sep | Change | Jan–Dec |
|---|---|---|---|---|---|---|---|
| Sep | 2021 | 2022 | 2021 | 2021 | |||
| 2022 | |||||||
| Gross written premiums | 304,182 | 272,151 | 12% | 866,118 | 732,409 | 18% | 1,013,421 |
| Premiums earned, net of reinsurance | 279,993 | 246,065 | 14% | 822,488 | 722,805 | 14% | 981,291 |
| Technical result | 45,780 | 28,212 | 62% | 118,177 | 86,505 | 37% | 114,236 |
| Result of asset management | 621 | 2,965 | -79% | -32,166 | 35,166 | -191% | 41,888 |
| Profit after tax | 34,177 | 25,049 | 36% | 61,196 | 94,651 | -35% | 119,980 |
| Earnings per share, SEK | 1.71 | 1.25 | 36% | 3.06 | 4.73 | -35% | 6.00 |
| Claims ratio | 22.6% | 25.6% | 21.6% | 24.2% | 23.5% | ||
| Expense ratio | 62.9% | 63.6% | 65.3% | 64.4% | 65.7% | ||
| Combined ratio | 85.4% | 89.1% | 86.9% | 88.7% | 89.3% | ||
| KSEK, unless otherwise stated | 30 Sep | 31 Dec | 30 Sep |
|---|---|---|---|
| 2022 | 2021 | 2021 | |
| Investment assets measured at fair value | 745,088 | 682,621 | 668,467 |
| Investment assets including cash and cash equivalents | 1,394,326 | 1,295,760 | 1,245,723 |
| Direct yield, from beginning of year, % | 1.2% | 1.4% | 1.0% |
| Total return, from beginning of year, % | -2.2% | 3.6% | 3.1% |
| Technical provisions, net of reinsurance | 650,533 | 612,089 | 593,039 |
| Net asset value | 876,575 | 815,531 | 788,621 |
| Equity | 388,457 | 327,413 | 300,503 |
| Equity (2)* | 776,023 | 714,979 | 688,069 |
| Net Asset Value, NAV (2)* | 757,952 | 692,434 | 663,492 |
| Return on equity (2), RoE (2) %* | 10.9% | 18.4% | 19.8% |
| Return on equity excl. intangible assets, RoNAV (2) %* | 11.9% | 20.3% | 21.8% |
| Eligible capital base to meet solvency capital requirement | 862,981 | 797,379 | 756,985 |
| Eligible capital base to meet minimum capital requirement | 859,147 | 792,259 | 748,062 |
| Solvency Capital Requirement (SCR) | 478,180 | 461,754 | 445,598 |
| Minimum Capital Requirement (MCR) | 145,812 | 130,604 | 127,045 |
| SCR ratio | 180% | 173% | 170% |
| MCR ratio | 589% | 607% | 589% |
| Solvency ratio, % | 77.4% | 82.7% | 82.8% |
| Number of employees at end of period* | 70 | 68 | 68 |
| Average number of FTEs* | 68 | 66 | 67 |
* Alternative performance measures are performance measures that company management and analysts uses to assess the company's development and are not defined by International Financial Reporting Standards (IFRS) or the Solvency II regulations. Company management believes that the performance measures make it easier for investors to analyse the company's performance. The calculations and reconciliation against information in the financial statements of these performance measures are presented on the website under "Financial statements". Definitions of performance measures are presented on the website under "Financial data".
During the period, Solid Försäkring signed an agreement with a new partner, Bliq, who will distribute payment protection insurance to its customers under the Tryggkredit brand. The launch is scheduled for Q1 2023. Preparations for the launch of the partnerships with Svea Bank and Fairlo continued during the quarter. Svea Bank is expected to launch at the end of the year.
Sales (gross written premiums) for the segment rose 7 per cent compared with the year-earlier period. The increase was mainly due to sales of payment protection insurance in Norway and Sweden.
Premiums earned, net of reinsurance, increased to KSEK 96,241 (92,852).
Costs for claims incurred, net of reinsurance, were in line with the year-earlier quarter and the claims ratio improved.
Gross profit increased KSEK 1,416 to KSEK 26,862 (25,446). The gross margin improved to 27.9 per cent (27.4), mainly due to the trend in costs for claims incurred, net of reinsurance.
Sales (gross written premiums) for the segment rose 7 per cent compared with the year-earlier period. This increase was primarily driven by the performance of the Norwegian market for which sales of payment protection insurance increased 31 per cent compared with last year.
Premiums earned, net of reinsurance, were in line with the preceding year at KSEK 283,740 (282,507).
Costs for claims incurred, net of reinsurance, declined KSEK 7,672 to KSEK 22,975 (30,647). The claims ratio improved and returned to pre-pandemic levels.
Gross profit increased KSEK 4,370 to KSEK 78,673 (74,303). The gross margin improved to 27.7 per cent (26.3), mainly due to lower costs for claims incurred, net of reinsurance.
Gross written premiums
+4% Premiums earned, net of reinsurance
+6%
Gross profit
27.9%
Gross margin
| KSEK | Jul– Sep |
Jul– Sep |
Cha nge |
Jan– Sep |
Jan– Sep |
Cha nge |
Jan– Dec |
|---|---|---|---|---|---|---|---|
| 2022 | 2021 | 2022 | 2021 | 2021 | |||
| Gross written premiums | 98,224 | 91,793 | 7% | 293,629 | 275,546 | 7% | 369,547 |
| Premiums earned, net of reinsurance |
96,241 | 92,852 | 4% | 283,740 | 282,507 | 0% | 374,391 |
| Claims incurred, net of reinsurance |
-7,351 | -7,239 | 2% | -22,975 | -30,647 | -25% | -39,039 |
| Acquisition costs* | -62,028 | -60,167 | 3% | -182,092 | -177,557 | 3% | -236,415 |
| Gross profit** | 26,862 | 25,446 | 6% | 78,673 | 74,303 | 6% | 98,937 |
| Gross margin*** | 27.9% | 27.4% | +0.5 p.p. | 27.7% | 26.3% | +1.4 p.p. | 26.4% |
* Acquisition costs include brokerage commission and costs for direct sales
** Gross profit = premiums earned, net of reinsurance minus claims incurred net of reinsurance minus acquisition costs
*** Gross margin = gross profit as a percentage of premiums earned, net of reinsurance
Sales (gross written premiums) for the segment rose 2 per cent compared with the year-earlier period, mainly driven by the partnership with Power in the Danish market where the company is continuing to capture market shares. Insurance sales in the eyewear industry also performed well during the period.
Premiums earned, net of reinsurance increased KSEK 5,558 to KSEK 92,962 (87,404). This increase was primarily attributable to insurance for consumer electronics in the Danish and Norwegian market.
Costs for claims incurred, net of reinsurance, increased 4 per cent to KSEK 30,880 (29,716) but the claims ratio improved in the segment during the period. Acquisition costs increased year-on-year to KSEK 48,180 (44,035), due to sales growth, a changed product and partner mix in the segment and an improved claims ratio.
Gross profit increased 2 per cent to KSEK 13,902 (13,653). The gross margin declined to 15.0 per cent (15.6) due to higher acquisition costs.
Sales (gross written premiums) for the segment rose 7 per cent compared with the year-earlier period, mainly driven by the trend in consumer electronics in Denmark and partially also in Norway and by the trend in insurance for the eyewear industry.
Premiums earned, net of reinsurance increased KSEK 18,924 to KSEK 274,322 (255,398). This increase was primarily attributable to insurance for consumer electronics in the Danish and Norwegian markets.
Costs for claims incurred, net of reinsurance, were in line with the preceding year at KSEK 78,552 (77,787). The claims ratio for the segment improved during the period. Acquisition costs increased to KSEK 147,391 (132,092), due to sales growth, a changed product and partner mix in the segment and the trend in the claims ratio.
Gross profit increased KSEK 2,860 to KSEK 48,379 (45,519). The gross margin was 17.6 per cent (17.8).
+2% Gross written premiums +6% Premiums earned, net of reinsurance +2%
Gross profit
15.0%
Gross margin
| KSEK | Jul– Sep 2022 |
Jul– Sep 2021 |
Cha nge |
Jan– Sep 2022 |
Jan– Sep 2021 |
Cha nge |
Jan– Dec 2021 |
|---|---|---|---|---|---|---|---|
| Gross written premiums | 108,267 | 106,016 | 2% | 274,690 | 255,669 | 7% | 361,090 |
| Premiums earned, net of reinsurance |
92,962 | 87,404 | 6% | 274,322 | 255,398 | 7% | 346,577 |
| Claims incurred, net of reinsurance |
-30,880 | -29,716 | 4% | -78,552 | -77,787 | 1% | -103,545 |
| Acquisition costs* | -48,180 | -44,035 | 9% | -147,391 | -132,092 | 12% | -179,709 |
| Gross profit** | 13,902 | 13,653 | 2% | 48,379 | 45,519 | 6% | 63,323 |
| Gross margin*** | 15.0% | 15.6% | -0.6 p.p. | 17.6% | 17.8% | -0.2 p.p. | 18.3% |
* Acquisition costs include brokerage commission and costs for direct sales
** Gross profit = premiums earned, net of reinsurance minus claims incurred net of reinsurance minus acquisition costs
*** Gross margin = gross profit as a percentage of premiums earned, net of reinsurance
The segment posted significant sales growth in the third quarter, driven primarily by the performance in sales related to the travel industry. The used-car market continued to slow down and there are fewer used cars being sold in Sweden. According to statistics from Vroom, the decrease was 19 per cent1 compared with the year-earlier quarter. Nonetheless, sales of insurance policies linked to car warranties increased over last year.
Gross written premiums rose KSEK 23,349 during the period to KSEK 97,691 (74,342). Premiums earned, net of reinsurance increased KSEK 24,981 to KSEK 90,790 (65,809). The increase in both gross written premiums and in premiums earned, net of reinsurance, was primarily attributable to the company's travel insurance products but also to insurance related to car warranties.
Costs for claims incurred, net of reinsurance, declined to KSEK 24,950 (25,928). The claims ratio improved significantly during the period compared with last year, primarily related to low claim costs related to travel insurance products. Acquisition costs increased to KSEK 41,142 (26,428), due to sales growth, a changed product and partner mix in the segment and the trend in the claims ratio.
Gross profit increased KSEK 11,245 to KSEK 24,698 (13,453) mainly as a result in growth in premiums earned and lower claim costs. The gross margin improved to 27.2 per cent (20.4) primarily due to an improved claims ratio.
¹Source: https://www.mynewsdesk.com/se/vroom/pressreleases/bilmarknaden-september-2022- 3179232, https://www.mynewsdesk.com/se/vroom/pressreleases/bilmarknaden-augusti-2022-3179215, https://www.mynewsdesk.com/se/vroom/pressreleases/bilmarknaden-juli-2022-3179208
Gross written premiums increased KSEK 96,605 to KSEK 297,799 (201,194). Premiums earned, net of reinsurance increased KSEK 79,526 to KSEK 264,426 (184,900). The increase in both gross written premiums and in premiums earned, net of reinsurance, was primarily attributable to the company's travel insurance products but also to insurance related to car warranties.
Gross profit increased KSEK 21,131 to KSEK 59,075 (37,944) mainly as a result in growth in premiums earned and relatively low claim costs. The gross margin improved to 22.3 per cent (20.5), primarily due to the claims ratio trend.
Gross written premiums
+38% Premiums earned, net of reinsurance
+84%
Gross profit 27.2%
Gross margin
| KSEK | Jul– | Jul– | Cha | Jan– | Jan– | Cha | Jan– |
|---|---|---|---|---|---|---|---|
| Sep | Sep | nge | Sep | Sep | nge | Dec | |
| 2022 | 2021 | 2022 | 2021 | 2021 | |||
| Gross written premiums | 97,691 | 74,342 | 31% | 297,799 | 201,194 | 48% | 282,784 |
| Premiums earned, net of reinsurance |
90,790 | 65,809 | 38% | 264,426 | 184,900 | 43% | 260,323 |
| Claims incurred, net of reinsurance |
-24,950 | -25,928 | -4% | -76,221 | -66,822 | 14% | -88,437 |
| Acquisition costs* | -41,142 | -26,428 | 56% | -129,130 | -80,134 | 61% | -118,560 |
| Gross profit** | 24,698 | 13,453 | 84% | 59,075 | 37,944 | 56% | 53,326 |
| Gross margin*** | 27.2% | 20.4% | +6.8 p.p. | 22.3% | 20.5% | +1.8 p.p. | 20.5% |
* Acquisition costs include brokerage commission and costs for direct sales
** Gross profit = premiums earned, net of reinsurance minus claims incurred net of reinsurance minus acquisition costs
*** Gross margin = gross profit as a percentage of premiums earned, net of reinsurance
The year has been characterised by a turbulent world, where the effects of the ongoing Russian invasion of Ukraine are creating turmoil and volatility in the financial markets, which primarily has an impact on the market value of Solid Försäkring's investment portfolio. The company will continue to closely monitor developments in the external environment and any impact of rising inflation, higher interest rates and increased energy prices to identify any early signs of potential changes in consumer behaviour, which could affect the company's insurance operations.
The Extraordinary General Meeting held on 29 September resolved, in accordance with the Board's proposal, to authorise the Board to acquire the company's own shares on one more occasions up until the next Annual General Meeting. The acquisition of own shares may occur of at most as many shares as are needed so that the company's holdings of own shares at any given time do not exceed five per cent of all shares in the company. The purpose of the authorisation to acquire own shares is to create a tool for the Board to continuously during the year adapt and improve the company's capital structure and thereby create additional value for shareholders. The intention is for the repurchased shares to later be cancelled by resolutions of upcoming Annual General Meetings.
Except for the above, no other significant events occurred during the period in question.
No significant events took place after the end of the period.
The company's ability to manage risks impacts the company's financial position and ability to achieve set targets. Various types of risks arise in the operations, such as insurance risk, market risk, counterparty risk, operational risks and other risks. The Board has adopted policies for the operations in order to balance the company's risktaking and restrict and control risks. All policies are updated as necessary and revised at least once a year. The Board and CEO are ultimately responsible for risk management. The company's risk management is described is more detail in the most recent annual report under the section Information about risks and uncertainties and in Note 2 Risk disclosures.
In general, no changes of material importance to risk management took place during the period, and the company does not believe that there is any risk that would jeopardise the company's stability or capital situation in the future.
Solid Försäkringsaktiebolag's (publ), Corp. ID. No. 516401-8482, has been listed on Nasdaq Stockholm (Small Cap) since 1 December 2021. The head office is located in Helsingborg, Sweden.
The focus of the operations is on niche insurance, with the Nordic region as its main market. The non-life insurance operations are divided into three segments: Product, Personal Safety and Assistance. The operations in Norway, Finland and Switzerland are conducted by branches, and operations in other countries are conducted as cross-border operations. Solid Försäkring partners with leading retail chains in various industries and the banking sector, and has about 2.3 million customers across the Nordic region.
The number of employees, regardless of degree of employment, was 70 (68) on 30 September, an increase of two people compared with the end of December 2021.
Number of employees
Solid Försäkringsaktiebolag's (Solid) share was listed on Nasdaq Stockholm (Small Cap) under the ticker SFAB and its ISIN is SE0017082548.
On the listing date of 1 December 2021 (the first trading day), the share was first traded at SEK 55.00 and closed at SEK 60.16. The share price on the final trading day on 30 September 2022 was SEK 44.96. A total of 2,258,047 shares were traded during the period, corresponding to a turnover rate of 11.29 per cent during the measurement period of 1 July–30 September 2022.
| The largest directly registered shareholders on 30 September 2022 |
Percenta ges of share capital |
|---|---|
| Waldakt AB | 28.9% |
| Investment AB Spiltan | 7.9% |
| Avanza Pension | 5.6% |
| Swedbank Robur Fonder | 3.5% |
| Nordnet Pensionsförsäkring | 3.1% |
| Swedbank Försäkring | 2.3% |
| Traction | 2.0% |
| Livförsäkringsbolaget Skandia | 1.9% |
| Catea Group AB | 1.7% |
| Norges Bank | 1.6% |
| 58.5% |
Financial calendar
| February 7, 2023 | Year-end report January–December 2022 (Q4) |
|---|---|
| March 21, 2023 | Annual report 2022 |
| April 26, 2023 | Interim report January-March 2023 (Q1) |
| July 21, 2023 | Interim report January-June 2023 (Q2) |
| October 26, 2023 Interim report January-September 2023 (Q3) |
Solid Försäkring has the following medium-term financial targets:
According to the Board's dividend policy, the company intends to pay an annual dividend corresponding to at least 50 per cent of net profit for the year from and including the 2022 financial year. The dividend policy is conditional on the target for the SCR ratio and that no potential major acquisitions are carried out.
February 7, 2023 Next interim report
The Board of Directors and the CEO certify that this year-end report provides a fair review of the company's operations, financial position and results and describes the significant risks and uncertainties faced by the company.
Helsingborg, 24 October 2022
Marcus Tillberg, CEO
The Board of Directors
Lars Nordstrand, Chairman
Marita Odélius Engström Lisen Thulin
Fredrik Carlsson David Nilsson Sträng
| KSEK | Note | Jul– Sep 2022 |
Jul– Sep 2021 |
Jan–Sep 2022 |
Jan–Sep 2021 |
Jan–Dec 2021 |
|---|---|---|---|---|---|---|
| Technical account of non-life insurance operations | ||||||
| Premiums earned, net of reinsurance | 3 | 279,993 | 246,065 | 822,488 | 722,805 | 981,291 |
| Allocated investment return transferred from the non-technical account | 4,946 | 1,500 | 10,355 | 4,500 | 8,900 | |
| Claims incurred, net of reinsurance | 4 | -63,181 | -62,883 | -177,748 | -175,256 | -231,021 |
| Operating expenses | 5 | -175,978 | -156,470 | -536,918 | -465,544 | -644,934 |
| Technical result for non-life insurance operations | 45,780 | 28,212 | 118,177 | 86,505 | 114,236 | |
| Non-technical account | ||||||
| Investment income | 8,064 | 4,868 | 20,179 | 20,507 | 25,068 | |
| Investment charges | -641 | -541 | -2,227 | -1,583 | -2,188 | |
| Unrealised gains/losses on investment assets | -6,802 | -1,362 | -50,118 | 16,242 | 19,008 | |
| Result of asset management | 6 | 621 | 2,965 | -32,166 | 35,166 | 41,888 |
| Allocated investment return transferred to technical account | -4,946 | -1,500 | -10,355 | -4,500 | -8,900 | |
| Other non-technical income | 3,481 | 2,633 | 7,036 | 5,358 | 6,750 | |
| Other non-technical expenses | -1,372 | -1,005 | -4,119 | -2,106 | -2,609 | |
| Profit before appropriations and tax | 43,564 | 31,305 | 78,573 | 120,423 | 151,365 | |
| Appropriations | 0 | 0 | 0 | 0 | 0 | |
| Profit before tax | 43,564 | 31,305 | 78,573 | 120,423 | 151,365 | |
| Tax on profit for the period | -9,387 | -6,256 | -17,377 | -25,772 | -31,385 | |
| Net profit for the period | 34,177 | 25,049 | 61,196 | 94,651 | 119,980 | |
| Basic and diluted earnings per share, SEK | 12 | 1.71 | 1.25 | 3.06 | 4.73 | 6.00 |
| KSEK | Jul– Sep |
Jul– Sep |
Jan–Sep 2022 |
Jan–Sep 2021 |
Jan–Dec 2021 |
|---|---|---|---|---|---|
| 2022 | 2021 | ||||
| Net profit for the period | 34,177 | 25,049 | 61,196 | 94,651 | 119,980 |
| Items that will be reclassified to profit or loss | |||||
| Translation differences in foreign operations | 58 | 132 | -208 | 121 | 701 |
| Comprehensive income for the period | 34,235 | 25,181 | 60,988 | 94,772 | 120,681 |
| KSEK | Note | 30 Sep 2022 |
31 Dec 2021 |
30 Sep 2021 |
|---|---|---|---|---|
| Assets | ||||
| Intangible assets | 18,071 | 22,545 | 24,577 | |
| Investment assets | 7 | 745,088 | 682,621 | 668,467 |
| Reinsurer's share of technical provisions | 4,680 | 3,811 | 4,516 | |
| Receivables | 104,710 | 81,052 | 84,574 | |
| Property, plant & equipment | 1,163 | 1,911 | 2,160 | |
| Cash and bank balances | 649,238 | 613,139 | 577,256 | |
| Other assets | 170 | 388 | 4,080 | |
| Prepaid expenses and accrued income | 232,849 | 210,418 | 198,122 | |
| Total assets | 1,755,969 | 1,615,885 | 1,563,752 | |
| Equity and liabilities Equity |
||||
| Share capital | 30,000 | 30,000 | 30,000 | |
| Fair value reserve | -985 | -777 | -1,357 | |
| Retained earnings | 298,246 | 178,210 | 177,209 | |
| Net profit for the period | 61,196 | 119,980 | 94,651 | |
| Total equity | 388,457 | 327,413 | 300,503 | |
| Untaxed reserves | ||||
| Contingency reserve | 488,118 | 488,118 | 488,118 | |
| Total untaxed reserves | 488,118 | 488,118 | 488,118 | |
| Liabilities | ||||
| Technical provisions, net of outward reinsurance | 8 | 655,213 | 615,900 | 597,555 |
| Other liabilities | 197,461 | 164,926 | 155,014 | |
| Accrued expenses and deferred income | 26,720 | 19,528 | 22,562 | |
| Total liabilities | 879,394 | 800,354 | 775,131 | |
| Total equity and liabilities | 1,755,969 | 1,615,885 | 1,563,752 |
| KSEK | Share capital |
Fair value reserve |
Retained earni ngs |
Net profit for the period |
Total equity |
|---|---|---|---|---|---|
| Equity, 1 January 2022 | 30,000 | -777 | 178,210 | 119,980 | 327,413 |
| Net profit for the period | 61,196 | 61,196 | |||
| Translation differences | -208 | -208 | |||
| Comprehensive income for the period | -208 | 61,196 | 60,988 | ||
| Previous year's profit brought forward | 119,980 | -119,980 | 0 | ||
| Owner transactions | |||||
| Option premiums received/repurchased | 56 | 56 | |||
| Equity, 30 September 2022 | 30,000 | -985 | 298,246 | 61,196 | 388,457 |
| Equity, 1 January 2021 | 30,000 | -1,478 | 133,837 | 43,372 | 205,731 |
| Net profit for the period | 119,980 | 119,980 | |||
| Translation differences | 701 | 701 | |||
| Comprehensive income for the period | 701 | 119,980 | 120,681 | ||
| Previous year's profit brought forward | 43,372 | -43,372 | 0 | ||
| Owner transactions | |||||
| Option premiums received/repurchased | 1,001 | 1,001 | |||
| Equity, 31 December 2021 | 30,000 | -777 | 178,210 | 119,980 | 327,413 |
| Equity, 1 January 2021 | 30,000 | -1,478 | 133,837 | 43,372 | 205,731 |
| Net profit for the period | 94,651 | 94,651 | |||
| Translation differences | 121 | 121 | |||
| Comprehensive income for the period | 121 | 94,651 | 94,772 | ||
| Previous year's profit brought forward | 43,372 | -43,372 | 0 | ||
| Owner transactions | |||||
| Equity, 30 September 2021 | 30,000 | -1,357 | 177,209 | 94,651 | 300,503 |
| KSEK | Jan–Sep 2022 |
Jan–Dec 2021 |
Jan–Sep 2021 |
|---|---|---|---|
| Operating activities | |||
| Profit before tax | 78,573 | 151,365 | 120,423 |
| Adjustment for non-cash items | 68,161 | -24,648 | -29,737 |
| Income taxes paid | -29,686 | -13,894 | -16,167 |
| Cash flow from operating activities before changes in working capital | 117,048 | 112,823 | 74,519 |
| Change in operating receivables | -21,069 | 11,035 | 13,995 |
| Change in operating liabilities | 37,352 | 39,198 | 34,605 |
| Cash flow from operating activities | 133,331 | 163,056 | 123,119 |
| Cash flow from investing activities | -101,489 | 173,275 | 180,934 |
| Cash flow from financing activities | 0 | -59,000 | -60,000 |
| Cash flow for the period | 31,842 | 277,331 | 244,053 |
| Cash and cash equivalents at the beginning of the year | 613,139 | 328,205 | 328,205 |
| Cash flow for the period | 31,842 | 277,331 | 244,053 |
| Exchange differences in cash and cash equivalents | 4,257 | 7,603 | 4,998 |
| Cash and cash equivalents at end of period | 649,238 | 613,139 | 577,256 |
The reported cash flows only include transactions involving cash inflows and outflows. The cash transactions are classified under operating activities, investing activities and financing activities. Cash and cash equivalents are bank deposits.
Solid Försäkring's interim report has been prepared in accordance with IAS 34 Interim Financial Report and the applicable parts of the Swedish Annual Accounts Act for Insurance Companies (1995:1560), the Swedish Financial Supervisory Authority's regulations and general guidelines on Annual Accounts at Insurance Undertakings (FFFS 2019:23), including all applicable amendment regulations, and the Swedish Financial Reporting Board's recommendation RFR 2 Accounting for Legal Entities. Disclosures pursuant to IAS 34.16A are presented in the financial statements and the accompanying notes as well as elsewhere in this interim report.
The ESMA guidelines on alternative performance measures are applied. These are performance measures that are not defined in applicable regulations (IFRS, ÅRFL, FFFS 2019:23 and FRL), but that Solid Försäkring believes to be relevant for monitoring and describing the company's financial situation and to provide additional useful information for users of the financial statements. Since these measures have been developed and adapted for Solid Försäkring, they are not fully comparable with similar performance measures presented by other companies.
The same accounting policies and basis for calculations were applied as those used in the most recent annual report. No other IFRS or IFRIC interpretations have come into force since 1 January 2022 that have had a material impact on the company.
Solid has established three operating segments: Personal Safety, Product and Assistance. These operating segments are reported in a manner consistent with the internal financial reporting provided to the chief operating decision maker. For Solid, the chief operating decision maker is the CEO since this is the person who is responsible for allocating resources and evaluating results. The financial information reported to the CEO, used as a basis for allocating resources and assessing the company's results, as gross profit and gross margin specified by three product areas, which have also been determined as the company's three operating segments: Personal Safety, Product and Assistance. The company uses the same valuation principles in its segment report according to IFRS 8 as in its financial statements.
| Jul–Sep 2022 | |||||
|---|---|---|---|---|---|
| KSEK | Personal Safety | Product | Assistance | Not specified |
Total |
| by segment | |||||
| Gross written premiums | 98,224 | 108,267 | 97,691 | 304,182 | |
| Premiums earned, net of reinsurance | 96,241 | 92,962 | 90,790 | 279,993 | |
| Claims incurred, net of reinsurance | -7,351 | -30,880 | -24,950 | -63,181 | |
| Acquisition costs* | -62,028 | -48,180 | -41,142 | -151,350 | |
| Gross profit** | 26,862 | 13,902 | 24,698 | 65,462 | |
| Gross margin*** | 27.9% | 15.0% | 27.2% | 23.4% | |
| Administrative expenses | -24,628 | -24,628 | |||
| Allocated investment return transferred from non-technical account | 4,946 | 4,946 | |||
| Technical result | 45,780 | ||||
| Result of asset management | 621 | 621 | |||
| Allocated investment return transferred to non-technical account | -4,946 | -4,946 | |||
| Other non-technical income | 3,481 | 3,481 | |||
| Other non-technical expenses | -1,372 | -1,372 | |||
| Profit before tax | 43,564 |
Premiums earned, net of reinsurance for the quarter amounted to KSEK 93,285 (90,442) for Solid Försäkring's largest partner in the Personal Safety segment.
| Jul–Sep 2021 | |||||
|---|---|---|---|---|---|
| KSEK | Personal Safety | Product | Assistance | Not | Total |
| specified | |||||
| by segment | |||||
| Gross written premiums | 91,793 | 106,016 | 74,342 | 272,151 | |
| Premiums earned, net of reinsurance | 92,852 | 87,404 | 65,809 | 246,065 | |
| Claims incurred, net of reinsurance | -7,239 | -29,716 | -25,928 | -62,883 | |
| Acquisition costs* | -60,167 | -44,035 | -26,428 | -130,630 | |
| Gross profit** | 25,446 | 13,653 | 13,453 | 52,552 | |
| Gross margin*** | 27.4% | 15.6% | 20.4% | 21.4% | |
| Administrative expenses | -25,840 | -25,840 | |||
| Allocated investment return transferred from non-technical account | 1,500 | 1,500 | |||
| Technical result | 28,212 | ||||
| Result of asset management | 2,965 | 2,965 | |||
| Allocated investment return transferred to non-technical account | -1,500 | -1,500 | |||
| Other non-technical income | 2,633 | 2,633 | |||
| Other non-technical expenses | -1,005 | -1,005 | |||
| Profit before tax | 31,305 |
Jan–Sep 2022 KSEK Personal Safety Product Assistance Not specified by segment Total Gross written premiums 293,629 274,690 297,799 866,118 Premiums earned, net of reinsurance 283,740 274,322 264,426 822,488 Claims incurred, net of reinsurance -22,975 -78,552 -76,221 -177,748 Acquisition costs* -182,092 -147,391 -129,130 -458,613 Gross profit** 78,673 48,379 59,075 186,127 Gross margin*** 27.7% 17.6% 22.3% 22.6% Administrative expenses -78,305 -78,305 Allocated investment return transferred from non-technical account 10,355 10,355 Technical result 118,177 Result of asset management -32,166 -32,166 Allocated investment return transferred to non-technical account -10,355 -10,355 Other non-technical income 7,036 7,036 Other non-technical expenses -4,119 -4,119 Profit before tax 78,573
| Jan–Sep 2021 | |||||
|---|---|---|---|---|---|
| KSEK | Personal Safety | Product | Assistance | Not | Total |
| specified | |||||
| by segment | |||||
| Gross written premiums | 275,546 | 255,669 | 201,194 | 732,409 | |
| Premiums earned, net of reinsurance | 282,507 | 255,398 | 184,900 | 722,805 | |
| Claims incurred, net of reinsurance | -30,647 | -77,787 | -66,822 | -175,256 | |
| Acquisition costs* | -177,557 | -132,092 | -80,134 | -389,783 | |
| Gross profit** | 74,303 | 45,519 | 37,944 | 157,766 | |
| Gross margin*** | 26.3% | 17.8% | 20.5% | 21.8% | |
| Administrative expenses | -75,761 | -75,761 | |||
| Allocated investment return transferred from non-technical account | 4,500 | 4,500 | |||
| Technical result | 86,505 | ||||
| Result of asset management | 35,166 | 35,166 | |||
| Allocated investment return transferred to non-technical account | -4,500 | -4,500 | |||
| Other non-technical income | 5,358 | 5,358 | |||
| Other non-technical expenses | -2,106 | -2,106 | |||
| Profit before tax | 120,423 |
Jan–Dec 2021
| KSEK | Personal Safety | Product | Assistance | Not specified |
Total |
|---|---|---|---|---|---|
| by segment | |||||
| Gross written premiums | 369,547 | 361,090 | 282,784 | 1,013,421 | |
| Premiums earned, net of reinsurance | 374,391 | 346,577 | 260,323 | 981,291 | |
| Claims incurred, net of reinsurance | -39,039 | -103,545 | -88,437 | -231,021 | |
| Acquisition costs* | -236,415 | -179,709 | -118,560 | -534,684 | |
| Gross profit** | 98,937 | 63,323 | 53,326 | 215,586 | |
| Gross margin*** | 26.4% | 18.3% | 20.5% | 22.0% | |
| Administrative expenses | -110,250 | -110,250 | |||
| Allocated investment return transferred from non-technical account | 8,900 | 8,900 | |||
| Technical result | 114,236 | ||||
| Result of asset management | 41,888 | 41,888 | |||
| Allocated investment return transferred to non-technical account | -8,900 | -8,900 | |||
| Other non-technical income | 6,750 | 6,750 | |||
| Other non-technical expenses | -2,609 | -2,609 | |||
| Profit before tax | 151,365 |
* Acquisition costs include brokerage commission and costs for direct sales, included in Note 5 Operating expenses.
** Gross profit = premiums earned, net of reinsurance minus claims incurred net of reinsurance minus acquisition costs
*** Gross margin = gross profit as a percentage of premiums earned, net of reinsurance
| KSEK | Jul– | Jul– | Jan–Sep | Jan–Sep | Jan–Dec |
|---|---|---|---|---|---|
| Sep 2022 |
Sep 2021 |
2022 | 2021 | 2021 | |
| Gross written premiums, geographical specification | |||||
| Sweden | 184,489 | 175,365 | 505,599 | 478,451 | 646,602 |
| Norway | 50,662 | 46,565 | 143,991 | 121,557 | 170,667 |
| Denmark | 23,499 | 17,727 | 69,370 | 47,223 | 69,978 |
| Finland | 12,968 | 12,338 | 37,214 | 36,565 | 48,669 |
| Rest of Europe | 32,564 | 20,156 | 109,944 | 48,613 | 77,505 |
| Total gross written premiums | 304,182 | 272,151 | 866,118 | 732,409 | 1,013,421 |
| Outward reinsurance premiums | -6,157 | -7,114 | -16,809 | -18,412 | -27,605 |
| Change in provision for unearned premiums and unexpired risks | -18,477 | -19,350 | -27,048 | 7,978 | -4,634 |
| Reinsurers' share of change in provision for unearned premiums and unexpired risks | 445 | 378 | 227 | 830 | 109 |
| Total premiums earned, net of reinsurance | 279,993 | 246,065 | 822,488 | 722,805 | 981,291 |
| Jul– | Jul– | Jan–Sep | Jan–Sep | Jan–Dec | |
|---|---|---|---|---|---|
| KSEK | Sep | Sep | 2022 | 2021 | 2021 |
| 2022 | 2021 | ||||
| Claims paid, net of outward reinsurance | -65,849 | -61,396 | -186,816 | -173,950 | -232,902 |
| Reinsurers' share of Claims paid | 1,543 | 1,552 | 8,355 | 4,527 | 6,325 |
| Change in Provision for claims outstanding, net of outward reinsurance | 1,125 | -3,039 | 161 | -5,833 | -4,434 |
| Reinsurers' share of Change in provision for claims outstanding | 0 | 0 | 552 | 0 | -10 |
| Total claims incurred, net of reinsurance | -63,181 | -62,883 | -177,748 | -175,256 | -231,021 |
| KSEK | Jul– | Jul– | Jan–Sep | Jan–Sep | Jan–Dec |
|---|---|---|---|---|---|
| Sep 2022 |
Sep 2021 |
2022 | 2021 | 2021 | |
| Specification of income statement item operating expenses | |||||
| Acquisition costs* | -158,168 | -136,307 | -476,318 | -384,955 | -539,232 |
| Change in item Deferred acquisition costs* | 6,460 | 5,249 | 15,146 | -5,928 | 2,920 |
| Administrative expenses | -24,628 | -25,840 | -78,305 | -75,761 | -110,250 |
| Operating expenses and profit-sharing in outward reinsurance* | 358 | 428 | 2,559 | 1,100 | 1,628 |
| Total income statement item operating expenses | -175,978 | -156,470 | -536,918 | -465,544 | -644,934 |
| Other operating expenses | |||||
| Claims adjustment costs included in Claims paid | -5,887 | -5,452 | -16,728 | -16,998 | -23,030 |
| Financial management costs included in Investment charges | -300 | -300 | -900 | -900 | -1,200 |
| Total other operating expenses | -6,187 | -5,752 | -17,628 | -17,898 | -24,230 |
| Total operating expenses | -182,165 | -162,222 | -554,546 | -483,442 | -669,164 |
* Marked items comprise total acquisition costs
| KSEK | Jul– Sep 2022 |
Jul– Sep 2021 |
Jan–Sep 2022 |
Jan–Sep 2021 |
Jan–Dec 2021 |
|---|---|---|---|---|---|
| Investment income | |||||
| Dividends on shares and participating interests | 0 | 426 | 2,795 | 2,646 | 3,561 |
| Interest income, bonds and other interest-bearing securities | 3,668 | 1,985 | 7,911 | 5,704 | 7,670 |
| Other interest income * | 706 | 541 | 1,461 | 2,855 | 4,061 |
| Exchange gains (net) | 1,623 | 428 | 3,569 | 1,044 | 1,468 |
| Capital gains (net) | 2,063 | 1,485 | 4,429 | 8,244 | 8,291 |
| Other | 4 | 3 | 14 | 14 | 17 |
| Total investment income | 8,064 | 4,868 | 20,179 | 20,507 | 25,068 |
| Investment charges | -641 | -541 | -2,227 | -1,583 | -2,188 |
| Unrealised gains/losses on investment assets recognised through profit or loss | |||||
| Shares and participating interests | -4,281 | -2,157 | -25,143 | 14,119 | 20,057 |
| Bonds and other interest-bearing securities | -2,521 | 795 | -24,975 | 2,123 | -1,049 |
| Total unrealised gains/losses on investment assets | -6,802 | -1,362 | -50,118 | 16,242 | 19,008 |
| Result of asset management | 621 | 2,965 | -32,166 | 35,166 | 41,888 |
* All Other interest income consists of interest income on assets measured at fair value.
| KSEK | 30 Sep 2022 |
31 Dec 2021 |
30 Sep 2021 |
|---|---|---|---|
| Shares and participating interests | 87,820 | 78,788 | 72,672 |
| Bonds and other interest-bearing securities | 636,791 | 574,581 | 566,381 |
| Subordinated loans | 20,477 | 29,252 | 29,414 |
| Total investment assets | 745,088 | 682,621 | 668,467 |
| KSEK | 30 Sep 2022 |
31 Dec 2021 |
30 Sep 2021 |
|---|---|---|---|
| Opening balance technical provisions, net of outward reinsurance | 615,900 | 587,764 | 587,764 |
| Provision for unearned premiums and unexpired risks, gross | |||
| Opening balance | 555,105 | 532,931 | 532,931 |
| Insurance policies written during the period | 866,118 | 1,013,421 | 732,409 |
| Premiums earned during the period | -839,071 | -1,008,787 | -740,387 |
| Currency effects | 10,964 | 17,540 | 10,975 |
| Closing balance | 593,116 | 555,105 | 535,928 |
| Provision for claims outstanding, gross | |||
| Opening balance | 60,795 | 54,833 | 54,833 |
| Settled claims from previous financial years | -19,701 | -21,940 | -20,285 |
| Changes in the expected cost of claims incurred in previous years (run-off result) | -5,667 | -8,332 | -7,113 |
| Provisions for the year | 25,207 | 34,706 | 33,231 |
| Currency effects | 1,463 | 1,528 | 961 |
| Closing balance | 62,097 | 60,795 | 61,627 |
| Closing balance technical provisions, net of outward reinsurance | 655,213 | 615,900 | 597,555 |
| KSEK | 30 Sep 2022 |
31 Dec 2021 |
30 Sep 2021 |
|---|---|---|---|
| Policyholders' priority rights | |||
| Assets encompassed by policyholders' priority rights | 1,397,406 | 1,296,131 | 1,247,186 |
| Technical provisions, net | -650,533 | -612,089 | -593,039 |
| Surplus from registered assets | 746,873 | 684,042 | 654,147 |
Solid Försäkringsaktiebolag is 28.9 per cent owned by Waldakt AB, and of the remaining owners, no individual owner has a holding of 20 per cent or more. No business transactions of significant importance took place with related parties during the period.
Related parties – Key individuals Marcus Tillberg CEO of Solid Försäkringsaktiebolag Lars Nordstrand Chairman of Solid Försäkringsaktiebolag Fredrik Carlsson Board member of Solid Försäkringsaktiebolag David Nilsson Sträng Board member of Solid Försäkringsaktiebolag Marita Odélius Engström Board member of Solid Försäkringsaktiebolag Lisen Thulin Board member of Solid Försäkringsaktiebolag
Remuneration of key individuals
There were no material changes to the scope of remuneration and benefits for senior executives during the period.
The table below shows financial instruments measured at fair value, based on their classification in the fair value hierarchy. The
different levels are defined as follows:
Listed prices (unadjusted) in active markets for identical assets or liabilities (level 1).
Other observable inputs for assets or liabilities other than listed prices included in level 1 directly (i.e., price quotations) or indirectly (i.e., derived from price quotations) (level 2).
Inputs for assets or liabilities that are not based on observable market data (i.e., unobservable inputs) (level 3).
| KSEK | Measurement level |
30 Sep 2022 |
31 Dec 2021 |
30 Sep 2021 |
|---|---|---|---|---|
| Financial assets at fair value through profit or loss | ||||
| Bonds and other interest-bearing securities | 1 | 657,268 | 603,833 | 595,795 |
| Listed shares | 1 | 87,820 | 78,788 | 72,672 |
| Total | 745,088 | 682,621 | 668,467 | |
| Financial liabilities at fair value through profit or loss | ||||
| Derivatives | 2 | 0 | -660 | -569 |
| Total | 0 | -660 | -569 |
| Assets, KSEK | 30 Sep 2022 | 31 Dec 2021 | 30 Sep 2021 | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Amortised cost* |
Fair value through profit or loss |
Carrying amount |
Amortised cost* |
Fair value through profit or loss |
Carrying amount |
Amortised cost* |
Fair value through profit or loss |
Carrying amount |
|
| Financial assets | |||||||||
| Shares and participating interests | 87,820 | 87,820 | 78,788 | 78,788 | 72,672 | 72,672 | |||
| Other interest-bearing securities | 657,268 | 657,268 | 603,833 | 603,833 | 595,795 | 595,795 | |||
| Receivables, direct insurance and reinsurance |
92,394 | 92,394 | 81,042 | 81,042 | 76,798 | 76,798 | |||
| Cash and bank balances and other cash equivalents |
649,270 | 649,270 | 613,193 | 613,193 | 581,210 | 581,210 | |||
| Prepaid expenses and accrued income |
3,080 | 3,080 | 1,031 | 1,031 | 2,031 | 2,031 | |||
| Total financial assets | 741,664 | 748,168 | 1,489,832 | 694,235 | 683,652 | 1,377,887 | 658,008 | 670,498 | 1,328,506 |
| Non-financial assets | 266,137 | 237,998 | 235,246 | ||||||
| Liabilities, KSEK | 30 Sep 2022 | 31 Dec 2021 | 30 Sep 2021 | ||||||
| Amortised cost* |
Fair value through profit or loss |
Carrying amount |
Amortised cost* |
Fair value through profit or loss |
Carrying amount |
Amortised cost* |
Fair value through profit or loss |
Carrying amount |
|
| Financial liabilities | |||||||||
| Liabilities, direct insurance and reinsurance |
184,396 | 184,396 | 158,712 | 158,712 | 149,901 | 149,901 | |||
| Derivatives | 0 | 660 | 660 | 569 | 569 | ||||
| Other liabilities | 13,065 | 13,065 | 5,554 | 5,554 | 4,544 | 4,544 | |||
| Total financial liabilities | 197,461 | 0 | 197,461 | 164,266 | 660 | 164,926 | 154,445 | 569 | 155,014 |
| Non-financial liabilities | 681,933 | 635,428 | 620,117 |
* Assets and liabilities are recognised at amortised cost, which is a good approximation of fair value
Basic earnings per share are calculated by dividing the earnings attributable to the company's shareholders by a weighted average number of ordinary shares outstanding for the period. The average number of shares between January and September 2022 amounted to 20,000,000 with a quotient value of SEK 1.5 (1.5). There was no dilutive effect as per 30 September 2022.
| Jul– Sep |
Jul– Sep |
Jan–Sep 2022 |
Jan–Sep 2021 |
Jan–Dec 2021 |
|
|---|---|---|---|---|---|
| 2022 | 2021 | ||||
| Net profit for the period, KSEK | 34,177 | 25,049 | 61,196 | 94,651 | 119,980 |
| Average number of shares outstanding in the period | 20,000,000 | 20,000,000 | 20,000,000 | 20,000,000 | 20,000,000 |
| Basic and diluted earnings per share*, SEK | 1.71 | 1.25 | 3.06 | 4.73 | 6.00 |
* All periods have been calculated based on the current number of shares in Solid Försäkring, i.e. 20,000,000 shares. The number of shares increased from 30,000 to 20,000,000 due to a share split in August 2021.
In connection with the publication of the interim report, CEO Marcus Tillberg and CFO Sofia Andersson will hold a teleconference on 25 October 2022 at 11:00 a.m. CEST. To participate in the conference, call +46856642693 or click on the following link https://tv.streamfabriken.com/solid-q3-2022. Presentation material will be available on Solid's website: https://corporate.solidab.se/en/investors/reports-and-presentations/
The complete January–September 2022 interim report will be available on https://corporate.solidab.se/en/investors/reports-and-presentations/
This information is such information that Solid Försäkringsaktiebolag (publ) is required to disclose pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, on 25 October 2022 at 7:30 a.m. CEST.
Marcus Tillberg, CEO, [email protected], +46 703 78 20 65 Sofia Andersson, CFO, [email protected], +46 700 42 11 77 Johan Hähnel, Head of IR, [email protected], +46 705 05 63 34
Solid Försäkringsaktiebolag
Landskronavägen 23 Box 220 68 SE-250 22 Helsingborg
Tel: +46 42 38 21 00 www.solidab.se
Solid Försäkringsaktiebolag, corporate identity number 516401-8482
We have reviewed the condensed interim report for Solid Försäkringsaktiebolag as at September 30, 2022 and for the nine months period then ended. The Board of Directors and the Managing Director are responsible for the preparation and presentation of this interim report in accordance with IAS 34 and the Swedish Annual Accounts Act for Insurance Companies. Our responsibility is to express a conclusion on this interim report based on our review.
We conducted our review in accordance with the International Standard on Review Engagements, ISRE 2410 Review of Interim Financial Statements Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and other generally accepted auditing standards in Sweden. The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Based on our review, nothing has come to our attention that causes us to believe that the interim report is not prepared, in all material respects, in accordance with IAS 34 and the Swedish Annual Accounts Act for Insurance Companies.
Helsingborg, 24 October 2022
Ernst & Young AB
Jesper Nilsson. Authorized Public Accountant
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