Sanlam (SLM) Q4 2023 earnings summary

Executive summary

• Strong operating performance: NRFFS per share +21%, cash NRFFS per share +21%, net operating profit per share +28% and adjusted ROGEV per share +19.5%.

• Strategic progress across South Africa, Pan-Africa and Asia, including the SanlamAllianz JV and a stronger focus on India.

• Dividend of 400 cents per share, up 11%; management expressed a positive outlook for ROGEV and dividends.

Financial highlights

• NRFFS after shareholders’ fund adjustments R12.379bn, up 18% YoY; net operational earnings R13.889bn, up 25%.

• Cash NRFFS R12.398bn, up 18%; cash earnings available for dividend distribution R12.032bn, up 19%.

• Net operating profit per share +28%; diluted HEPS +49%; cash NRFFS per share +21%.

• IFRS profit after tax attributable to shareholders’ fund R14.478bn, up 18% YoY.

• Dividend 400 cents per share, up 11% YoY.

Outlook and guidance

• Positive outlook for ROGEV and dividends; earnings remain sensitive to global market levels.

• Priorities include South African efficiency gains, acquisition integration and synergies, digital business models, and further strategic growth opportunities.

• India is expected to be the strongest group growth engine in the medium term; long-term prospects in Pan-Africa and India remain positive.

• 2024 capital deployment expected to remain within the overall capital plan; proposed Assupol transaction is subject to shareholder and regulatory approvals.