Línea Directa Aseguradora (LDA) investor relations material

Executive summary

• Gross written premiums rose 9.2% year-over-year to €609.3 million, with growth across all business lines.

• Net profit increased 19% to €52.1 million; the portfolio grew 7.8% to 3.86 million policyholders, adding nearly 278,000 over 12 months.

• Return on average equity was 23.3%, and the Solvency II ratio reached 196.3%.

Financial highlights

• Insurance activities income rose 11.2% to €577.1 million; the insurance operating result increased 28.4% to €49.7 million.

• Profit before tax rose 17.5% to €68.3 million; profit after tax increased 19.0% to €52.1 million.

• Combined ratio improved 1.2 percentage points to 91.1%; loss ratio was 70.9%, down 0.2 points, and expense ratio was 20.2%, down 1.0 point.

• Investment result was €21.8 million, down 1.8%; financial investment income increased 5.2%.

Outlook and guidance

• Focus remains on profitable growth, technical improvement, protecting margins, and operational efficiency.

• Inflation and repair costs are being monitored; premiums may be adjusted if costs are affected.

• Home profitability is expected to remain strong, subject to atmospheric events in autumn.

• Digital sales account for 13–14% of new production, with continued growth targeted.