Gjensidige Forsikring ASA

Earnings Release • Oct 22, 2024

Higher insurance service result driven by revenue growth

Higher insurance service result driven by revenue growth

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.

The third quarter showed continued strong revenue growth as well as high claims

levels for property and private motor insurance in Norway. Targeted measures

will gradually improve the underlying profitability. Results from the investment

portfolios and the pension business contributed to an annualised return on

equity of 23.5 per cent. Due to the insurance service result year-to-date, the

Group does not expect to deliver on the combined ratio target for 2024. All the

financial targets for 2025 and 2026 are maintained.

Highlights Third quarter Year-to-date

2024 2023 2024 2023

Group

Profit or loss before NOK million 2,214.6 1,115.0 5,095.2 3,929.7

tax

Earnings per share NOK 3.32 1.63 7.63 5.93

General Insurance

Insurance revenue NOK million 9,888.8 8,853.1 28,340.5 25,588.9

Insurance service NOK million 1,590.0 1,111.6 3,716.7 3,735.4

result

Combined ratio Per cent 83.9% 87.4% 86.9% 85.4%

Cost ratio Per cent 11.8% 16.6% 12.3% 14.1%

Financial result NOK million 1,306.5 114.5 2,250.5 689.3

Solvency ratio, Per cent 164% 185%

approved Partial

Internal Model

-Claims cost in Norway continues to increase, both within property and motor

insurance. It is encouraging to see that we manage to deliver solid revenue

growth and that our customer loyalty remains high, says CEO Geir Holmgren.

General insurance

Insurance revenue increased by 11.7 per cent to NOK 9,888.8 million (8,853.1) in

the quarter, or by 10.6 per cent measured in local currency. This was mainly

driven by effective and differentiated pricing measures and solid renewals.

The insurance service result increased by 43.0 per cent. The increase was driven

by a lower cost ratio and higher insurance revenue. Operating expenses in the

third quarter 2023 were significantly impacted by one-off expenses of NOK 409.0

million.

The loss ratio in the third quarter 2024 increased by 1.3 percentage points,

reflecting a higher underlying frequency loss ratio, lower run-off gains, a

change in risk adjustment and a lower discounting effect. Large losses were

lower than the same quarter last year. For comparison, the Group recognised

weather-related claims costs of NOK 558.1 million in the third quarter last

year, of which NOK 35.0 million as frequency losses. Adjusted for this the

underlying frequency loss ratio increased by 2.3 percentage points. The

deterioration was primarily driven by private and commercial property and

accident and health insurance in Norway and private motor insurance in Norway

and Denmark.

Pension

The pension segment recorded a profit before tax expense of NOK 123.8 million

(3.9), driven by an increase in net finance income and increased income from the

unit linked business.

Financial result

The financial result for the quarter was NOK 1,306.5 million (114.5), which

corresponds to a return on total assets of 2.1 per cent (0.2). The result for

the quarter was positively impacted by high running yields, falling interest

rates, lower credit spreads and positive equity markets.

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, 22 October 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.