Topdanmark — Earnings Release 2014

Feb 19, 2015

19 February 2015
Announcement No. 04/2014

Key features

2014

-- Post-tax profit of DKK 1,558m (2013: DKK 1,468m)
-- This profit is higher than the profit forecast of DKK 1,350-1,450m assumed
for 2014 in the Q1-Q3 2014 interim report
-- EPS were DKK 14.4 (2013: DKK 12.5)
-- Combined ratio: 86.0% (2013: 91.5%)
-- Combined ratio excluding run-off: 89.8% (2013: 95.0%)
-- Premium growth was 2.6% in non-life insurance and 26.7% in life insurance
-- Profit on life insurance declined to DKK 200m (2013: DKK 442m). The 2013
profit was impacted by the recognition as income from the shadow account
-- Investment return declined to DKK 711m (2013: DKK 866m)
-- Share buy-back of DKK 1,716m, representing a buy-back yield of 9.6%.

Q4 2014

-- Post-tax profit: DKK 304m (Q4 2013: DKK 251m)
-- EPS: DKK 2.9 (Q4 2013: DKK 2.2)
-- Combined ratio: 83.6% (Q4 2013: 100.4%)
-- Combined ratio excluding run-off profits: 87.5% (Q4 2013: 104.9%)
-- Premium growth: Non-life insurance 1.8%, life insurance 12.6%
-- Profit on life insurance: DKK 2m (Q4 2013: DKK 102m)
-- Investment return: DKK 60m (Q4 2013: DKK 283m).

Profit forecast model for 2015

-- The assumed combined ratio for 2015 has improved from around 91% to 90-91%,
excluding run-off, in the light of an improved claims trend
-- Assumed premium growth has been changed from 1-2% to around 0% particularly
due to an increased focus on profitability promoting initiatives for less
profitable customers in the SME and industrial areas, which generated a
greater than expected loss of customers at the end of 2014
-- Profit forecast model: DKK 900-1,000m, excluding run-off, representing EPS
of DKK 9.5.

Share buy-back

-- Share buy-back programme of DKK 1.8bn for 2015, representing a buy-back
yield of 7.8%.

Søren Thorup Sørensen new Chairman of Board of Directors

-- Michael Pram Rasmussen, Chairman of Topdanmark’s Board of Directors has
chosen not to stand for re-election at the AGM on 15 April 2015. Søren
Thorup Sørensen, present Deputy Chairman, is expected to take over the role
as Chairman, while Torbjörn Magnusson is expected to be appointed as Deputy
Chairman.

Annual Report

-- The 2014 Annual Report will be published on 4 March 2015.

Webcast
In a webcast Topdanmark's CEO, Christian Sagild, will present the financial
highlights and comments on the forecast.

Conference call
A conference call will be held today at 15:30 (CET) when Christian Sagild, CEO
and Lars Thykier, CFO will be available for questions based on the announcement
of the annual results and the webcast. The call will be conducted in English.

In order to participate in the conference call, please phone:
UK dial-in number: +44 (020) 7162 0025
US dial-in number: +1 334 323 6201
10-15 minutes before the conference quoting reference 951136 and ask the
operator to connect you to the Topdanmark conference call – or listen to the
live transmission of the call.

Please direct any queries to:

Christian Sagild, Chief Executive Officer,
Direct tel.: +45 4474 4450

Lars Thykier,Chief Financial Officer;
Direct tel.: +45 4474 3714

Steffen Heegaard, Group Communications and IR Director,
Direct tel.: +45 4474 4017, mobile: +45 4025 3524

Topdanmark A/S
Reg.No. 78040017
Borupvang 4
2750 Ballerup