Bâloise Holding (BALN) H2 2023 earnings summary

Executive summary

• FY 2023 EBIT was CHF 344m, down 6.0% YoY; profit was CHF 236m, down 3.4%, with extraordinary large claims weighing on results.

• Cash remittance rose 5% to CHF 493m; proposed dividend increased to CHF 7.70 per share.

• Non-Life and Asset Management & Banking EBIT improved, while Life EBIT declined; estimated SST ratio was ~210% at 1 Jan 2024.

Financial highlights

• Total gross written premiums were CHF 8,618m, up 0.8% in local currency; Non-Life premiums grew 5.4% and Life investment-type premiums declined 4.3%.

• EBIT was CHF 344.4m versus CHF 366.4m in FY 2022; profit was CHF 236.2m versus CHF 244.5m.

• Insurance investment performance was 5.6%: current yield 2.2%, net capital gains and losses 2.8%, and unrealised gains and losses 0.9%.

• Comprehensive equity was CHF 7.171bn at FY 2023; shareholders’ equity was CHF 3.250bn.

Outlook and guidance

• Strategic ambition remains CHF 2bn cumulative cash remittance to the holding by 2025; 2023 remittance was CHF 493m, up 5% YoY.

• Cost efficiencies of CHF 59.5m have been achieved since 2019 against a CHF 200m ambition by 2025.

• 2024 follow-up investments in existing innovation initiatives are expected to be significantly lower than in previous years.

• Investor Update and H1 2024 results are scheduled for 12 September 2024.