Santam (SNT) Q3 2025 TU earnings summary

Financial performance highlights

• Achieved double-digit growth in gross written and net earned premiums, with net earned premium growth at 16% and underwriting margin above the 5% to 10% target range.

• Annualised return on capital exceeded 30%, and net income growth remained consistent with the first half of the year.

• Investment returns on insurance funds outperformed benchmarks, reaching 3% of net earned premiums.

• Shareholder investment returns were below expectations due to foreign currency translation losses from Rand strengthening.

Business segment performance

• MiWay and business insurance segments delivered strong double-digit premium growth, while Specialist Solutions faced competitive pressures.

• Santam Re achieved excellent growth, supported by strategic partnerships and portfolio restructuring.

• Alternative Risk Transfer segment reported substantial growth in fee income, underwriting results, and investment margins.

Capital management and strategic initiatives

• Issued R1.53 billion in 5-year and R470 million in 7-year unsecured subordinated floating rate notes in October 2025.

• Economic capital cover ratio remained within the 145% to 165% target range after interim dividend payment.

• Received in-principle approval to launch a Lloyd's syndicate, aiming to enhance international growth and diversification.