Swiss Life (SLHN) Q3 2024 earnings summary

Executive summary

• Fee and commission income rose 6% to CHF 1.9 billion in the first nine months of 2024, with all sources contributing positively.

• Gross written premiums, fees, and deposits increased 4% to CHF 15.9 billion.

• Direct investment income grew to CHF 3.1 billion, yielding a non-annualized 2.2%.

• The SST ratio at end-September 2024 was around 205%, above the strategic ambition range.

• The group expects to achieve or exceed return on equity and dividend payout ratio targets for the Swiss Life 2024 program.

Financial highlights

• Switzerland: Premiums up 1% to CHF 8 billion; fee and commission income up 5% to CHF 252 million.

• France: Premiums up 12% to EUR 5.6 billion; fee and commission income up 16% to EUR 416 million; unit-linked share at 67%.

• Germany: Premiums up 4% to CHF 1.1 billion; fee and commission income up 10% to CHF 602 million.

• International: Premiums down 7% to CHF 1.5 billion; fee and commission income down 3% to CHF 283 million.

• Asset managers: Commission income up 5% to CHF 699 million; net new assets in TPAM at CHF 3.4 billion (CHF 8.4 billion prior year).

Outlook and guidance

• Expects to reach the lower end of the CHF 850–900 million fee result target, dependent on real estate market normalization in Germany and France.

• Total net new assets expected to be around CHF 7 billion by year-end 2024.

• Share of non-recurring income in TPAM expected to be around 30% for 2024.

• Vacancy rates in real estate expected to remain at 3.1% for year-end 2024.

• New three-year Group-wide programme and targets to be announced at Investor Day in December 2024.