Swiss Life (SLHN) Q1 2025 TU earnings summary

Executive summary

• Achieved strong top-line growth in Q1 2025, with fee and commission income up 3% to CHF 659 million and premiums, fees, and deposits received up 6% to CHF 7.9 billion, supported by all business divisions.

• Direct investment income increased by 6% to CHF 1.1 billion, with a non-annualized yield of 0.8%.

• Net new assets in third-party asset management surged to CHF 9.3 billion, mainly from index business and active mandates, with assets under management at CHF 135 billion as of March 2025.

• SST ratio estimated at around 200% at end of March 2025, above the ambition range.

Financial highlights

• Fee and commission income rose 3% year-over-year to CHF 659 million, driven by own and third-party products and asset management.

• Cross-written premiums, fees, and deposits received increased 6% to CHF 7.9 billion.

• Direct investment income up 6% to CHF 1.1 billion; non-annualized yield at 0.8%, up from 0.7% in the prior-year period.

• Asset managers' commission income up 5% to CHF 232 million; TPAM commission income up 6% to CHF 146 million.

• Real estate fair value changes positive at 0.2% (non-annualized); vacancy rates stable at 3.1%.

Outlook and guidance

• Guidance confirmed for non-recurring TPAM income share to average around 25% for 2025-2027.

• Net new assets for 2025 expected in the upper teens of billions, significantly above 2024.

• Further positive real estate fair value changes expected for Swiss portfolio in 2025.

• The first quarter marks a positive start to the 'Swiss Life 2027' programme, aiming for continued successful development.

• Ongoing CHF 750 million share buyback programme is on track, set to run until end of May 2026.