Sanlam (SLM) CMD 2025 summary

Strategic vision and growth trajectory

• Focus on quality growth and accelerating expansion through five vectors: India, Lloyd's specialty insurance, Pan-African expansion, South African ecosystem, and asset management transformation, leveraging digital and ecosystem models.

• Partnerships in India (Shriram), Africa (Allianz), and South Africa (TymeBank) are central, emphasizing local expertise, scalable platforms, and digital integration.

• No changes to group structure, management, or prudent risk management approach; capital allocation and dividend policy remain consistent.

• Commitment to compounding, conservatism, and long-term partnership, with a focus on sustainable value creation and inclusive growth.

• Capital allocation prioritizes businesses and geographies with sustainable competitive advantage and strong, scalable cash generation.

Financial guidance and performance metrics

• Ambitious 2030 targets: operating profit growth above RSA CPI +6% p.a., ROE above 20% p.a., dividend growth above RSA CPI +4% p.a., and economic solvency ratio between 150%-190%.

• Introduction of a balanced scorecard with six key metrics: operating profit growth, ROE, return on group equity value, dividend growth, solvency, and sustainability.

• Shift to economic solvency as the primary capital strength measure, aligning with global peers.

• Enhanced financial disclosures and reporting simplification, retiring legacy shareholder fund accounting in favor of IFRS 17/9 and global best practice.

• Management incentives revised to align with new targets, focusing on ROE, group equity value, and dividend growth.

Regional and business segment developments

• India: Shriram partnership leverages digital platforms and rural reach, targeting >RSA CPI +10% operating profit growth and 15-20% ROE between 2025-2030.

• Africa: SanlamAllianz JV aims to double profits by 2030, targeting top-three positions in most markets and insurance margin of 10–15%.

• South Africa: Ecosystem strategy integrates banking (TymeBank), insurance, and rewards, focusing on multi-channel distribution and cross-selling to younger, mobile-first clients.

• Asset management: Refocused on solutions, alternatives, and indexation, with the Ninety One transaction enabling global best practice and offshore growth.

• Lloyd’s: Santam’s Syndicate 1918 to launch in 2026, targeting international diversification, >20% of GWP from international business by 2030, and >24% return on capital.