Tryg A/S

Tryg’s Supervisory Board has today approved the annual report 2023.

Insurance service result of DKK 6,399m (DKK 6,292m1) and a combined ratio of 82.8 (83.2) in 2023 impacted positively by improved underlying performance, a good growth of 4.8%, DKK 711m (DKK 406m) synergies from the RSA Scandinavia acquisition, significantly higher interest rates but also negatively impacted by a high level of weather claims and weakened Swedish and Norwegian currencies. Investment results of DKK 631m primarily impacted by positive returns from equities and fixed-income asset classes. Pre-tax profit was DKK 5,029m and profit after tax was DKK 3,851m Quarterly dividend of 1.85 per share, bringing the total dividend for the full year to 7.40 per share, generally supporting TryghedsGruppen’s member bonus. Tryg launched a share buy back program of DKK 1bn following the Q3 results. Solvency ratio of 197 showing resilience in volatile times.
 Financial highlights 2023

Insurance revenue growth of 4.8% in local currencies Insurance service result of DKK 6,399m (DKK 6,292m) Combined ratio of 82.8 (83.2) Expense ratio of 13.4 (13.6) Total investment return of DKK 631m Profit before tax of DKK 5,029m Full-year dividend of DKK 7.40 per share and solvency ratio of 197

Financial highlights Q4 2023

Insurance service growth of 6.3% (4.0%) in local currencies Insurance service result of DKK 1,654m (DKK 1,472m) Combined ratio of 82.4 (84.0) Underlying claims ratio (Group) improved by 0.5 percentage points Expense ratio of 13.5 (13.8) Total investment return of DKK 146m (DKK 549m) Profit before tax of DKK 1,389m (DKK 1,377m) Q4 dividend per share of DKK 1.85 per share

Customer highlights Q4 2023

Customer satisfaction score of 86 (85) For the eight year in a row, TryghedsGruppen decided to pay a member bonus. The bonus is around DKK 950m, equivalent to 6% of the premiums paid in 2022

Statement by Group CEO Johan Kirstein Brammer:
In a challenging year, Tryg’s core business continued to develop positively with a premium growth of 4.8%. The top-line development was driven primarily by price adjustments in the Private and Commercial businesses. Despite high inflation for the majority of 2023 and heavy weather related claims in all markets, we deliver an insurance service result of DKK 6,399m. The result is supported by positive developments in the core insurance business.



One of the key focuses of the 2024 strategy has been to reduce the exposure of our Corporate business to US liability and property insurance outside the Nordics, and I am happy to report that we have reached this already in 2023. This initiative will improve profitability and reduce earnings volatility in the Group.

To enhance competitiveness in a challenging macroeconomic environment, and to reinforce our commitment to the 2024 targets, we made some strategic and operational adjustments in 2023.  We continued to capitalise on our scale and delivered synergies from the integration of Trygg-Hansa and Codan Norway ahead of schedule, we merged our Corporate segments in Denmark and Norway, and adjusted the leadership structure in Sweden to reflect the operating model of the Tryg Group.

2023 was a historical year in regards to the high number of weather related events in all our main markets. I'm proud of the way we have served and helped our customers with high agility in connection with these events, and that our dedicated employees have managed to lift, and maintain, a very high level of customer satisfaction despite the extraordinary high number of claims.

Finally, I am also happy to announce a full-year dividend per share of DKK 7,40 and that Tryg started a new back program in of DKK 1bn following the results for Q3 2023.

Conference call

Tryg hosts a conference call today at 10:00 CET. CEO Johan Kirstein Brammer, CFO Allan Kragh Thaysen, CTO Mikael Kärrsten and Head of IR, SVP Gianandrea Roberti will present the results in brief followed by Q&As.The conference call will be held in English. An on-demand version will be available shortly after the conference call has ended.

Conference call details:

Danish participants:             +45 78 76 84 90

UK participants:                   +44 203 769 6819

US participants:                   +1 646 787 0157

PIN: 560768

1 Insurance figures in brackets for FY 2022 are pro-forma comparison figures  including pro-forma figures for Q1-2022

Attachments

02_TRYG_Annual report_2023 tryg-2023-12-31-en